FG Sets to Battle Foreign Exchange Speculators as Naira Falls to N1,830 Against Dollar

The Federal government yesterday declared war on currency speculation in its effort to stem the crisis in the foreign exchange (FX) market. The government issued a directive to the Office of the National Security Adviser (ONSA) and Central Bank of Nigeria (CBN) to join forces to address the challenges posed to the national economy by the speculative FX activities.

Equally, yesterday, in a renewed bid to safeguard Nigeria’s FX market and combat speculative activities, the government deployed the Nigeria Police, Economic and Financial Crimes Commission (EFCC), Nigeria Customs Service (NCS), and Nigerian Financial Intelligence Unit (NFIU) to fight the menace.

The fresh measures came as the naira sustained its free fall at the parallel segment of the FX market, dropping to a record N1,830 to a dollar, a slide by N335 in just one week, compared to the N1,495 to a Dollar it closed on February 13.

But President Bola Tinubu yesterday disclosed a plan by the federal government to raise at least $10 billion in order to increase FX liquidity, a key ingredient to stabilise the naira and grow the economy.

The naira, in one week, recorded its highest slump on the parallel market as it closed at N1,830/$ yesterday, while on the Nigerian Autonomous Foreign Exchange (NAFEM) it closed at N1,551.24/$1, a N47.3 appreciation compared to the N1,598.54 it closed on Monday.

However, speaking yesterday, in Abuja, at the inaugural Public Wealth Management Conference, with the theme, “Championing Nigeria’s Economic Prosperity,” organised by the Ministry of Finance Incorporated (MOFI), Tinubu said his administration would create millions of jobs by unlocking the value of Nigeria’s vast public assets with a view to optimising and doubling the country’s Gross Domestic Product (GDP).