By Monsurat Abisoye
The Presidency has defended the Federal Government’s foreign exchange reforms, stating that the naira has now reached its true market value following policy changes introduced by President Bola Tinubu’s administration.
Speaking on Arise Television’s Prime Time programme on Tuesday, Special Adviser to the President on Information and Strategy, Bayo Onanuga, said the previous exchange rate system significantly undervalued the naira and encouraged arbitrage between the official and parallel foreign exchange markets.
According to Onanuga, when President Tinubu assumed office, the official exchange rate was about N400 to the dollar, while the parallel market rate was much higher. He explained that the decision to liberalise the foreign exchange market allowed the currency to reflect its actual value.
He also cited recent remarks by the International Monetary Fund (IMF), which he said estimated the naira’s fair value at around N1,100 to the dollar, despite it currently trading above N1,300 in the foreign exchange market.
Onanuga expressed confidence that the naira would strengthen further as the reforms continue to take effect. He added that the administration’s economic policies since 2023 have contributed to wealth creation, noting that about six million Nigerians invested in the stock market during the period.
He said many companies listed on the Nigerian stock market have remained profitable, generating returns and increasing wealth for millions of shareholders across the country.