A former spokesman of the Atiku-Okowa 2023 Presidential Campaign Council, Daniel Bwala, has suggested a radical approach President Bola Tinubu can use to smoke out speculators hoarding dollars in Nigeria.

Bwala said Tinubu should issue an Executive Order giving 30 days ultimatum to ban the use of dollar for trading both locally and internationally.

He urged Tinubu to take bold steps in tackling the exchange rate crisis.

A former spokesman of the Atiku-Okowa 2023 Presidential Campaign Council, Daniel Bwala, has suggested a radical approach President Bola Tinubu can use to smoke out speculators hoarding dollars in Nigeria.

Bwala said Tinubu should issue an Executive Order giving 30 days ultimatum to ban the use of dollar for trading both locally and internationally.

He urged Tinubu to take bold steps in tackling the exchange rate crisis.


Posting on social media, Bwala wrote: "A more radical approach to smoking out the dollar from where ever speculators and hoarders are hiding them is for @officialABA to sign an Executive Order giving 30 days ultimatum within which the Federal Government would officially ban the use of Dollar for trade both locally and internationally, just like Egypt is taking the bold steps in that direction."

The Naira has crashed to an all-time low against the US dollar at the official and parallel foreign exchange markets, worsening the nation's forex crisis.

Data from FMDQ showed that the Naira dropped to N1,574.62 per US dollar on Monday from N1,537.96 on Friday last week.

This represents a N36.66 or 2.3 per cent loss compared to the N1,537.96 recorded at the close of trading on Friday.

Similarly, at the parallel market, the Naira dropped to N1,660 per US dollar on Monday from N1,590 on Friday.

My observation is that CBN has lost complete control of the forex market and are being regulated by the BDCs and population instead of CBN being in control. All over the world, forex trading is heavily regulated by governments through central banks.

skj1377:
Ban use of dollar in Nigeria. Ban crypto of any kind. Never sell dollars to bank. Companies requesting dollars should be inspected by son , firs and Nafdac before request can be granted . Finally stop payment of school fees abroad. No direct benefits to Nigeria.

Crimecity:


And you want foreign investors from other countries in your country?

See the e-diots supporting Tinubu

skj1377:
Ban use of dollar in Nigeria. Ban crypto of any kind. Never sell dollars to bank. Companies requesting dollars should be inspected by son , firs and Nafdac before request can be granted . Finally stop payment of school fees abroad. No direct benefits to Nigeria.

Deogratiasfx:
Nigerian behold the people that make u kill yourselves for them. See their level of knowledge!!!

yarimo:
Your advice is noted comrade Daniel BWALA

skj1377:
Ban use of dollar in Nigeria. Ban crypto of any kind. Never sell dollars to bank. Companies requesting dollars should be inspected by son , firs and Nafdac before request can be granted . Finally stop payment of school fees abroad. No direct benefits to Nigeria.

Babalegba:
Sometimes you have to think out of the box. Radical ideas are the way forward sometimes.

Crimecity:


And you want foreign investors from other countries in your country?

See the e-diots supporting Tinubu

Cindypresh:


I ain't surprised one bit🙄

yarimo:
are you the one on your profile picture? I hate ugly things

Agbegbaorogboye:
@Op

@Bwala I don't understand what he means by the govt should ban all local and international trade in dollars. Is he saying Nigeria should pursue an isolationist policy? How practicable is that?

Cindypresh:


Lmaooo😂😂

emkz:
These are just temporary measures and are bound to fail. The forex market in Nigeria is like a hydra-headed snake. Cut one head; as you face another head, the first head will grow back. Cut the damn neck! In other words, let the CBN address the root of the problem instead of pretending they don't know.

Since last week, dollars injected into the forex market are mopped up.

Who exactly are those mopping up the forex?

What economic activity is tied to the raid of the forex?

Ribadu claims the activities of speculators are responsible for the hike in dollar rates.

My question to Ribadu is: why are the speculators not afraid of the government?

For many years, bank MDs have been accused of buying forex from CBN and the forex goes into the black market through back channels, for example, there are vulturistic abokis sitting in banking halls trying to buy off dollars from customers.

Who regulates those abokis?

If the $10billion the vice president said would come into the system enters, it would be evacuated by the same speculators which would not solve the problem.

My observation is that CBN has lost complete control of the forex market and are being regulated by the BDCs and population instead of CBN being in control. All over the world, forex trading is heavily regulated by governments through central banks.

What I also observed is that the dollars are mopped up by those who don't need them but are keeping them for a profit. Therefore, let CBN take complete control of the forex market through the following measures:

(1) Deregister all unlicensed BDCs. That market is heavily unregulated and until they are faced squarely by the authorities, the practice of the naira dying will not stop.

(2) Stop selling dollars to commercial banks as it is clear that they have failed in meeting their obligations to customers with the dollars. People who approach the banks for PTA/BTA and school fees are directed to the BDCs. Why do BDCs have dollars and banks don't? Even with banks, some people still approach the CBN to transfer their school fees. Infact, it was found that the banks had $5billion in their vaults. How come no one has been punished when these same banks created artificial scarcity to push people to BDCs?

(3) All banks should be compelled to show a statement of how they used the dollars they received from the CBN from the last two years. At least it would give us some ideas of what disappeared through the black market.

(4) CBN needs to carry out a tsunami on the banking industry. Use some bank MDs known for the forex fraud as examples by dismissing them for breaking the law.

(5) Once all these measures are taken, the CBN must protect all forex coming into the country to ensure the problems we currently have are not iterated.

In summary, CBN needs to take drastic measures to regulate the market.

There are other measures that can be taken to get the dollars from those who have stored them. Whether the CBN would have the will is something else. The Nigerian forex market is like those who pirate music.

Kill the black market for forex.

Babalegba:
How much are the investors bringing in and how much is being lost to corruption and saboteur activities. Can you invest in a dangerous country. Stop caring about investors,fix the country and investors will come.