Economy: Nigeria Naira with positive performance can strengthen foreign investors confidence
This performance of Naira in the last one month is seen as a positive sign, capable of strengthening investors confidence in the policies of President Bola Tinubu.
As reported by Bloomberg UK had declared that the naira has emerged as the world’s best-performing currency since March 2024.
Presidency attributed the development to President Tinubu’s visionary leadership, under which Nigeria has seen a remarkable turnaround in its economic fortunes.
Ajuri Ngelale, Presidential spokesman, while reacting to the development on Thursday, attributed the achievement to the “strategic initiatives and policies implemented by President Tinubu’s ACE team, consisting of Wale Edun, Minister of Finance and Coordinating Minister of the Economy, Zacch Adedeji, the Chairman of Federal Inland Revenue Service FIRS and Yemi Cardoso, Governor of the Central Bank of Nigeria CBN.
He stated that their collaborative efforts have been pivotal in stabilising the naira and boosting investor confidence. They have encouraged significant economic reform and management that aligns with global best practices”
Recall that at the inception of the Tinubu’s administration in May, 2023, declared that Nigeria’s monetary policy needs thorough housecleaning.
Tinubu vowed to ensure that the Central Bank must work towards a unified exchange rate, to direct funds away from arbitrage into meaningful investment in the plant, equipment and jobs that power the real economy.
He had also promised to reduce Interest rates to increase investment and consumer purchasing in ways that sustain the economy at a higher level.
Ngelale said the naira’s success under this administration confirms the effectiveness of President Tinubu’s economic strategies and the proficiency of his ACE team.
“By focusing on critical areas such as fiscal responsibility, transparent governance, and international trade relations, the team has managed to not only stabilise the currency but also enhance Nigeria’s economic standing on the global stage.
“This achievement reflects well on the current administration’s ability to steer the nation through complex global economic challenges. It sets a robust foundation for future economic growth and development in Nigeria.
He also noted that the President has been very consistent in his view that the labour pains felt by our people and the incredible sacrifices made by our people over the past 10 months would be rewarded across the board.
The current results are the direct outcome of President Tinubu’s multi-faceted approach to ridding the nation’s foreign exchange market of malign actors and sharp practices have provided a platform for the sustainable strengthening of our national currency against all global currencies and this is what we are seeing.
“But there is still much work to be done and this is not a time for celebration. It is a time for doubling down and working harder to ensure that inflation is sustainably brought down in short order and that consumer protecting regulatory agencies step up enforcement to ensure that our people are not short-changed by enterprises that fail to reflect the prevailing exchange rates on the pricing of goods and services across the board.
“As our private and publicly-owned refineries resume operations between now and the first quarter of 2025, the nation’s cash position will dramatically improve to the extent that Nigerians can rightly expect a stronger Naira and a fair reflection of its strength in the prices of commodities in the market place.
“Once you join the rising spending power of Africa’s largest population with the historic availability of trillions of naira for consumer credit that will bolster the real sector, you will see why Nigerians will be most pleased that they elected a financial engineer and businessman as president by the end of his first term in office, even as the signs are increasingly more evident today.”