Nigeria Spent $388 Billion Defending Naira Since 2000

The Independent Media Policy Initiative (IMPI) disclosed that Nigeria expended $388 billion from 2000 to 2023 to defend the naira, averaging $16.8 billion annually. The report highlights that despite this significant expenditure, the naira has continued to depreciate against the dollar.

The administration of President Bola Tinubu, which took office recently, is focusing on harmonizing multiple foreign exchange rates to stabilize the currency. IMPI's chairman, Dr.

Omoniyi Akinsiju, noted that the previous administrations, including those of Olusegun Obasanjo, Umaru Musa Yar'Adua, Goodluck Jonathan, and Muhammadu Buhari, contributed to the naira's decline despite their substantial spending. The report indicates that the naira's value fell from N22 in May 1999 to N460 in May 2023, with the official exchange rate at N2100.

The Tinubu administration has implemented a stronger foreign exchange management model, with a total intervention of $7.8 billion planned for 2024-2025, aiming to reverse the naira's chronic decline.