The Federal Ministry of Finance and the Central Bank of Nigeria (CBN) are working on fresh initiatives to rescue the naira, according to hints yesterday.
The Finance Minister and Coordinating Minister for the Economy, Mr. Wale Edun, yesterday met with CBN Governor Olayemi Cardoso and Economic and Financial Crimes Commission (EFCC) Chairman Ola Olukoyede to strategise on stabilising the beleaguered currency.
This occurred on a day the naira sustained its rally against the dollar, closing at N1,440 at the parallel market. The rate represents a N10 gain from the N1,450 to dollar recorded on Thursday.
But apparently not satisfied with the exchange rate, the trio launched into a meeting in Abuja yesterday to discuss ways of shoring up the naira.
Details of the meeting were not immediately available, but the Federal Ministry of Finance in a terse statement on its X handle said: “This afternoon at Finance HQ, HM Finance & Coordinating Minister for the Economy, Wale Edun, EFCC Chairman Ola Olukoyede @officialEFCC and CBN Governor Olayemi Cardoso @cenbank, engaged in a strategic discussion focused on enhancing the efficiency of our financial system and stabilising the Naira.
“The meeting highlighted our continuous efforts in aligning monetary and fiscal policies, underscored by a commitment to the rule of law.
“The EFCC Chairman reaffirmed the Commission’s support for these initiatives, emphasising his dedication to enhancing the integrity of financial regulations.”
This meeting comes amidst efforts to bridge the gap between the official and black market exchange rates, including this week’s EFCC raids on unauthorised foreign exchange operators.
Mr. Edun reiterated the government’s “commitment to the rule of law” as a cornerstone of achieving these objectives.
Speaking in a similar tone, Mr. Olukoyede, the EFCC Chairman, “pledged the Commission’s unwavering support” for these initiatives. He stressed the organisation’s dedication to enforcing financial regulations with integrity, and combating illegal activities threatening the financial system.
Governor Cardoso, leading the apex bank, expressed the CBN’s commitment to collaborate with the Ministry of Finance and the EFCC. He emphasised the importance of “coordinated efforts” in achieving their shared goals of economic stability and financial system efficiency.
An official of the Ministry of Finance told The Nation that “these meetings hold regularly where they try to coordinate fiscal and monetary policies to make sure there’s a strong coordinated handshake and they’re operating in sync whilst maintaining their independence.”
The source said while the CBN retains its grip on financial sector regulation, control of the transmission mechanisms and tools for setting the exchange rate, the macroeconomic strategy is driven by the minister.”
“The minister takes his coordinating role very seriously. He’s there to provide thoughts leadership, mentorship support, intellectual support and all of that.”
On further efforts to stabilise the Naira, the official said: “The CBN is putting things out and setting the market right. It’s all about macroeconomic stability, enhancing liquidity, deepening the capital market and making sure there’s access to capital for inclusive development.
“While challenges remain, the collaborative approach and commitment to the rule of law demonstrated by these leaders will pave the way for potential progress in strengthening the Naira and fostering a more robust financial system for the nation.
Edun, Cardoso, EFCC Chair In Fresh Bid To Rescue Naira
