Labour Party presidential candidate in the 2023 elections, Peter Obi, has criticized the recent attacks on Bureau de Change (BDCs) operators in various urban centres across Nigeria by government agencies.
The former Governor of Anambra State said the move is ill-advised and misdirected, warning that such actions will escalate and worsen the country’s exchange rate situation.
In a post on X, Obi emphasized that BDCs are not the primary suppliers of foreign exchange (forex), nor do they create demand.
According to Obi, the key to strengthening the currency lies in transitioning Nigeria from a consumption-focused economy to a production-oriented one, especially in export-led production.
Additionally, he underscored the need to combat corruption, saying it allows unproductive money to compete for the available supply of foreign currency.
His words:
”The recent reported attacks and disruption of the business activities of Bureaux de Change (BDCs) operators in different urban centers across the country by Government Agencies, are ill-advised and wrongly directed.
”Rather than solve the problem, the action will further escalate and worsen the exchange rate situation in the country. The BDCs are not the primary suppliers of forex nor do they create demand. They only provide a market to sellers and buyers of foreign currency.
”They are part and parcel of every economy and can be found even in the developed economies of the world. To think that the BDCs are the cause of the declining value of the Naira is a smack on rational economic thinking.
”The only way to shore up the value of our currency is to move the country from consumption to production, especially export-led production, and fight corruption, which allows unproductive money to pursue the available supply of foreign currency.
”As long as Nigeria remains an unproductive economy and corruption continues unfettered with people in possession of unproductive excess cash, the value of our currency will continue to depreciate.
”It’s important, therefore, that government authorities properly understand the workings of a modern economy and channel their efforts accordingly.”
