The United States government has said that it would nudge the Nigerian government towards adopting a more flexible foreign exchange rate to boost growth and investment in the nation.
U.S Assistant Secretary of State for Africa, Linda Thomas- Greenfield, told an audience at the US Institute of Peace that Nigeria should ensure that the value of the naira currency versus the US dollar was more realistic.
Shs said while most people complain about the possibility of there being a devaluation, people are already operating on a devalued currency, and the only people who are not, are people who are doing it officially.
“Our recommendation is, and we will have discussions about it … that they should look at the exchange rate and try to make the exchange rate more realistic to what the value of the naira is to the dollar,” she added.
She spoke before talks in Washington to be launched by Secretary of State John Kerry on Tuesday, March 29 and which will focus on Nigeria’s economy, security and development.
Thomas-Greenfield said the parallel currency market in Nigeria was alive and well, warning that a rigid exchange rate, capital controls and import bans could undermine President Muhammadu Buhari’s efforts to expand economic growth and fight corruption. Buhari has rejected the idea of devaluing the naira.
