The Nigerian naira is facing a severe crisis, dropping to N1,900 against the US Dollar in some cities, despite the government's crackdown on forex speculators. The Federal Government raided Bureau De Change (BDC) hubs in Abuja, Lagos, and Kano, leading to arrests of operators.
National Security Adviser Nuhu Ribadu directed security agencies to combat speculators to protect the foreign exchange market. However, the naira's value continued to decline, reaching N1,900 in Abuja and Kano, and N1,800 in Lagos.
The official market showed a slight improvement, closing at N1,551.24. Critics, including economists, questioned the effectiveness of the government's approach, with some suggesting a focus on addressing scarcity rather than crackdowns.
BDC operators were arrested during the raids, prompting the Association of Bureau De Change Operators of Nigeria (ABCON) to call for collaboration with the government. They proposed automating and monitoring retail exchange activities for better regulation.
As the currency crisis deepens, concerns rise about its impact on inflation, economic stability, and investor confidence. Calls for a strategic and comprehensive policy to stabilize the forex market intensify.
