Peter Obi, the Labour Party’s presidential candidate for 2023, has expressed strong disapproval of the government’s recent raids on Bureau De Change (BDC) operators in various major cities.
NN News Media reminds us that these raids were part of an attempt by the Economic and Financial Crimes Commission (EFCC) to stabilize the Naira, which has been experiencing ongoing fluctuations against the US dollar. The EFCC’s operations targeted BDC operators in cities such as Abuja, Ibadan, and Kano.
In a public statement released via his official social media account, Obi criticized the government’s actions, describing them as misguided and ill-conceived. He argued that the disruption of BDC operations would likely exacerbate, rather than alleviate, the country’s exchange rate issues.
Obi emphasized that BDCs, which facilitate transactions between buyers and sellers of foreign currency, are not the root cause of forex supply or demand issues. He pointed out that such entities are a common feature of economies worldwide, including developed nations.
He further argued that blaming BDCs for the Naira’s depreciation reflects a misunderstanding of economic principles. Instead, he suggested that the key to strengthening the Naira lies in transitioning Nigeria from a consumption-based economy to one focused on export-led production. Additionally, he stressed the importance of combating corruption, which enables unproductive money to chase the limited supply of foreign currency.
Obi concluded by urging government authorities to gain a better understanding of modern economic mechanisms and to adjust their strategies accordingly.
