Peter Obi, the presidential candidate of the National Democratic Congress (NDC) for the 2027 election, says he will retain the free-floating exchange rate policy of the Bola Tinubu administration if elected president.
A free-floating exchange rate system allows currency values to be determined purely by market forces of supply and demand, without direct intervention from the central bank to peg the currency.
Speaking Thursday during an interview on *Arise News*, Obi was asked to identify one policy of the current administration he would keep if he assumed the presidency.
“Yes. One: floating the naira. I’m not going to defend the naira artificially, but I’m going to boost productivity to make it more valuable to the people,” Obi said.
**FX Unification and Market Impact**
The Central Bank of Nigeria (CBN) introduced a “willing buyer, willing seller” model on June 14, 2023, unifying the country’s multiple foreign exchange market windows.
The reform, introduced shortly after President Tinubu assumed office, aimed to allow market dynamics to dictate the value of the local currency while enhancing transparency and price discovery. The CBN described the move as crucial to eliminating market distortions and restoring foreign investor confidence.
The naira experienced sharp depreciation immediately following the policy shift. Official CBN data showed the exchange rate at the Investors’ and Exporters’ (I&E) window closed at N770.88 per dollar by the end of June 2023, compared to N460 per dollar at the end of December
Obi’s position on foreign exchange aligns with his broader economic stance on deregulation. He previously reaffirmed his support for the removal of the petrol subsidy, noting that under his proposed governance blueprint, the subsidy would have been phased out in a phased and structured manner.
He emphasized that under his leadership, funds saved from subsidy removal would be directed toward key national infrastructure, health, and education to cushion the impact on ordinary citizens.
