October 31 (THEWILL) – Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Mr. Taiwo Oyedele, has said that the government may crack down on illicit currency traders, commonly called back-market money dealers.
He also gave the assurance that the implementation of the planned new foreign exchange regulations will be beneficial to the country.
Oyedele said the regulations aim to accurately represent the value of the Naira.
He added that the plan includes measures to combat illegal currency trading and is anticipated to bridge the gap between the official exchange rate and the unofficial one, ultimately achieving a “fair price” for the Naira by the end of 2023.
The government’s target, according to him, is for a “fair price” for the dollar within the range of N650 to N750.
He also revealed the government’s intention to establish transparent guidelines for the official foreign exchange market, following the resolution of a substantial backlog of approximately $6.7 billion in dollar demand.
He said: “The Federal government plans to introduce new foreign exchange rules, including a crackdown on illicit currency trading.”
Financial experts, however, express doubts over the proposed forex regulations without addressing the lingering supply side of the market which is outstripped by demand.
Sam Diala is a Bloomberg Certified Financial Journalist with over a decade of experience in reporting Business and Economy. He is Business Editor at THEWILL Newspaper, and believes that work, not wishes, creates wealth.
