Nigeria: 'New Monetary Policy Regime Will Benefit All Nigerians, Not Just the Rich'

“Reform may be painful, but it is what greatness and the future require,” President Tinubu said.

Nigeria’s monetary policy regime was once tilted in favour of the elites but will onwards be fair to all, President Bola Tinubu told the nation Sunday morning in a televised speech marking Nigeria’s 63rd Independence Anniversary.

“Henceforth monetary policy shall be to the benefit of all, not to the exclusive province of the powerful and the wealthy,” he affirmed while talking about the clean-up of the Central Bank of Nigeria (CBN), where a recent shake-up sacked the bank’s entire leadership.

Since assuming office, President Tinubu has implemented many reforms targeting one of the most comprehensive revamp of Nigeria’s foreign exchange system to date.

Apart from rejigging the CBN’s top hierarchy, he has introduced a series of measures to allow the official exchange rate of the naira to the dollar and other major currencies to weaken to a level that placed it close to the parallel market rate.

But that drive, even though crucial to attracting foreign investors, has brought more agony, as the gulf between the two rates, which closed up briefly in June, has widened further to the detriment of dollar users, particularly import-dependent manufacturers.

The official exchange rate, 461 to a dollar on the day of the president’s inauguration, stood at 776 at market close on Friday, meaning the naira has depreciated by 68.3 per cent in the past four months, making it Africa’s worst-performing currency as tracked by Bloomberg.