I am yet to be convinced of benefits of ‘ruthless devaluation of naira’, – Buhari

I am yet to be convinced of benefits of ‘ruthless devaluation of naira’, – Buhari

Monday, June 27, 2016 11:18 pm


President Buhari addressing the businessmen

President Buhari addressing the businessmen

President Muhammadu Buhari on Monday in Abuja said he is yet to be convinced about the economic benefits of what he described as “the ruthless devaluation of naira.’’

“How much benefits have derived from naira devaluation in the past?,” the president, who was speaking at the Ramadan breaking of fast with members of the business community queried.

The Central Bank of Nigeria recently introduced a floating exchange rate which has resulted in the devaluation of the official exchange rate of the naira from N197 to over N280 to a United State’s dollar.

“I don’t like the returns I get from the CBN because that coupled with the demand that let us devalue the naira, in August 1985 when the naira was N1.3 to a dollar now you need N300 or N350 to a dollar.

“What do we derive from that, how much benefit can we derive from this ruthless devaluation of the naira?

“I’m not an economist neither a businessman, I fail to appreciate what is the economic explanation.

“What has happened to us now is that we have maneuvered ourselves into mono-economy which led to the collapse we are seeing now.

The President however said his administration would make Nigeria self-sufficient in rice production within 18 months.

He said 13 states of the federation had been identified for the production of the crop.

He said the Minister of Agriculture, Chief Audu Ogbeh, had already been briefed on how best to achieve the target.

Buhari decried the way and manner the nation’s scarce resources were wasted on the importation of food items by the previous regimes.

He said the nation had no option than to concentrate more on agriculture and solid mineral activities.

“A lot of responsibilities now fall on your shoulders now. You have a lot of investments, a lot of people you employ,’’ he added.

In his remarks on behalf of the business community, Mr Kola Jamodu, expressed the readiness of the private sector to partner the administration in addressing the economic challenges facing the country.

He thanked the president for inviting them for the breaking of fast dinner. (NAN)

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