Mr. Peter Obi, the Labour Party’s Presidential candidate in the 2023 general election, has strongly criticized the security agencies for their attacks on Bureaux de Change (BDCs) operators throughout the country.
Obi’s Criticism of the CBN’s Directive
Obi, who made this statement on Sunday on his officially verified social media page, said that instead of resolving the issue, the decision will only exacerbate and deteriorate the exchange rate problem in the country.
The ex-governor of Anambra State stated that BDC operators are integral to all economies, including those in developed countries.
The Potential Consequences of the Crackdown
He stressed the importance of transitioning the country from a focus on consumption to production, specifically through export-led methods, in order to preserve the value of the naira. Additionally, he highlighted the need to combat corruption, as it enables unproductive funds to compete for foreign currency.
Obi believes that the attacks on Bureaux de Change operators and disruptions of their business activities in various urban centers by Government Agencies are neither wise nor justified.
Alternative Solutions to the Forex Crisis
Instead of resolving the issue, the decision will exacerbate and deteriorate the exchange rate problem in the country. Bureau de Change (BDCs) are not the main sources of foreign currency, nor do they drive demand. They simply facilitate the buying and selling of foreign currency in the market.
“They are integral components of all economies and are present even in the most advanced economies globally. Blaming the BDCs for the decrease in the value of the Naira goes against logical economic reasoning.”
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The Importance of Dialogue and Collaboration
The best way to strengthen our currency is to transition our country’s focus from consumption to production, particularly through exports, and combat corruption which enables unproductive funds to compete for foreign currency.
If Nigeria remains a non-productive economy and corruption persists unchecked, with individuals holding onto excess unproductive cash, the currency’s value will continue to decrease.
Therefore, it is crucial for government officials to have a thorough understanding of how a modern economy functions and to focus their efforts accordingly.
