BY MOSES YUSUF DEPARTMENT OF MASS COMMUNICATION, BORNO STATE UNIVERSITY, MAIDUGURI.
The recent appreciation of the Naira to N1,550 against the US Dollar in the parallel market is welcome news for many Nigerians. This improvement offers hope for our economy, which has faced tough times due to unstable exchange rates.
The rise in the Naira's value is due to several reasons. These include lower demand for dollars, increased confidence in government policies, and the fact that many importers have finished their festive season purchases.
This development may lead to cheaper goods and services, especially imported items. It could also help reduce inflation, easing the strain on household budgets.
However, maintaining a stronger Naira needs consistent effort. The Central Bank of Nigeria (CBN) should continue policies that promote transparency in the foreign exchange market. Tools like the Bloomberg BMatch system have already helped by improving trading and narrowing the gap between official and parallel rates.
The government should also support local production to reduce reliance on imports. By giving loans, subsidies, and better infrastructure to local industries, more jobs will be created, and demand for dollars will fall.
Nigerians must avoid practices like dollar hoarding and speculation, which can weaken the Naira. A united effort to support the currency will bring more stability.
As the Naira strengthens, businesses should pass on the benefits by reducing prices, especially for essential goods like food and medicine.
The government needs to communicate clearly, apply policies effectively, and work with international partners. Public education campaigns can also help people understand how their actions affect the economy.
While this progress is promising, it is just the beginning. With effort from everyone, we can build a stable economy that works for all Nigerians.