Tinubu promises to address challenges in financial markets

President Bola Tinubu said Monday that his government is not blind to the challenges several Nigerians are facing in the financial markets.

Mr Tinubu disclosed this while speaking at the 29th National Economic Summit on Monday.

“My government is not blind to the challenges several of you are facing in the financial markets. I can allay these concerns by revealing that we have a good line of sight for the additional foreign exchange liquidity that is required to restore market confidence,” Mr Tinubu said.

Over the past four months, the naira has depreciated by over 50 per cent at both the authorised and unauthorised market segments, after the Central Bank of Nigeria (CBN) announced in June that it had collapsed all forex windows into the Investors and exporters (I&E) window.

The move, according to the apex bank, is part of the Nigerian government’s efforts to improve liquidity and stability in the market and attract foreign investors into the Nigerian economy.

Although the policy was widely applauded as well-intentioned and necessary, it has put additional pressure on the local currency and manufacturers, with ripple effects on domestic prices.

Speaking on Monday, Mr Tinubu said to mobilise finance for sustainable development, his government has commenced an aggressive domestic and external mobilisation of financial resources.

“We have simultaneously commenced an aggressive domestic and external mobilisation of financial resources and capital from a wide range of partners. Amongst several initiatives, we are progressing forward with the development of wide-ranging reforms to our fiscal and tax policies to ensure an efficient, fair and growth-friendly fiscal environment.

“To harness our human Capital, we must protect the socio-economically vulnerable and vanquish forever the crippling multidimensional poverty affecting our land as we move aggressively to end hunger and protect all Nigerian children.

“Consistent with our commitment to enshrining fairness and the rule of law in our country, this government will uphold the sanctity of every legitimate contract,” Mr Tinubu said.

Specifically, the president said as it relates to foreign exchange obligations of the government, all forward contracts that the government has entered will be honoured and a framework has been put in place to ensure that these obligations are met in due course.

“Further details elaborating on the specifics of these far-ranging initiatives to deepen foreign exchange liquidity and improve confidence across all stakeholders would be shared by the Coordinating Minister of the Economy and the Governor, Central Bank of Nigeria,” he said.

Mr Tinubu noted that a one trillion dollar Nigerian economy is possible by 2026, and a three trillion dollar economy is possible within this decade.

“We can do it with double-digit, inclusive, sustainable and competitive growth. This is our agenda, and I would like to charge you, the captains of industry here present, to commit and redouble your commitment to our vision of a Renewed and more prosperous Nigeria, a better Nigeria for all.

“For us to successfully deliver our promise to Nigerians, we recognise that it is imperative that we foster a highly collaborative relationship with the private sector. We must work together. I have proven capacity in this regard, as we remember the role of public-private partnerships in the transformation of Lagos State under my leadership. We will replicate that across Nigeria with your unwavering support.

“Today, I urge you, as Nigeria’s foremost private sector think tank and policy advocacy group, to go much further than you have done before. Bring your ideas, bring your leadership, bring your capital, and bring the collective will of your large conglomerates and business networks. Let us build a future of renewed hope. My government is prepared. Are you ready?,” he added.