The Federal Government Aims To Achieve A Conversion Rate Of N750 Per US Dollar By December.

The Chair of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has revealed that the federal government plans to reduce the dollar rate at the I&E Window to N750 per dollar by December. Oyedele stated in an interview with Bloomberg News that achieving this target involves implementing new foreign exchange regulations, cracking down on illegal currency trading, and closing the 45 percent gap between the official and black-market dollar rates in the country.

He further explained that the government intends to address the backlog of dollar demand, approximately $6.7 billion, enhance the naira forward market, and establish transparent guidelines for the official market operations. Oyedele emphasized the government’s goal to expand the official market to encompass all legitimate transactions while eliminating the illicit black market for foreign currency.

He expressed confidence that these measures would take effect before December, indicating that positive outcomes could become visible within a few weeks. Oyedele emphasized the objective of establishing the naira’s true value, aligning it with the official market rates rather than the inflated rates seen in the parallel market.

Additionally, Oyedele asserted that a “fair price” for the dollar lies between 650 to 750 naira, translating to N802.59 to the dollar, in contrast to the black market rate of N1,165.