The
United State government has declared the intention to pressurize the Nigerian
government to adopt a softer stance against the dollar. U.S. Assistant
Secretary of State for Africa, Linda Thomas-Greenfield, told an audience at the
U.S. Institute of Peace that Nigeria should ensure that the value of the naira
currency versus the U.S. dollar is "more realistic."
"While
most people complain about the possibility of there being a devaluation, people
are already operating on a devalued currency, and the only people who are not,
are people who are doing it officially," Thomas-Greenfield said.
Thomas-Greenfield
said the parallel currency market in Nigeria was "alive and well,"
warning that a rigid exchange rate, capital controls and import bans could
undermine President Muhammadu Buhari's efforts to expand economic growth and
fight corruption. Buhari has rejected the idea of devaluing the naira.
"Our
recommendation is, and we will have discussions about it ... that they should
look at the exchange rate and try to make the exchange rate more realistic to
what the value of the naira is to the dollar," she added.
"Capital
controls that limit access to foreign exchange rewards insiders and undermines
the stated goals of Nigeria to increase domestic production because both
Nigerian and expat investors alike tell us many businesses are unable to obtain
the capital to purchase badly needed intermediate goods," she said.
source: Reuters
No comments:
Post a Comment