Amid the recent volatility of the Naira at the foreign exchange market, economist Paul Alaje has advised the Nigerian government to invoice every litre of crude oil sold in foreign currency as a short-term solution.
Alaje, the Chief Economist at SPM Professionals, emphasized the necessity for firm policy implementation to restore investors’ confidence, particularly among multinational firms. He stressed, “If you lift one litre of crude oil in Nigeria, all the receipts must be in foreign currency.”
Recently, the Central Bank of Nigeria (CBN) eliminated the previous cap on exchange rates quoted by International Money Transfer Operators (IMTOs), signifying a proactive measure to address the currency’s decline.
Furthermore, the CBN issued broad policy interventions to counteract the ongoing fluctuations in the country’s FX market. These measures included guidelines to discourage foreign currency hoarding and speculation.
As a result, the Naira experienced a positive rebound against the US dollar on Wednesday, though it still maintained a high rate of N1461.90 per dollar at Thursday’s close of the FMDQ market.
