Naira to hit N1,000 to Dollar soon– Adebajo

 Economic and financial expert, Mr. Adebajo Adeolu, has emphasized that the Nigerian naira has the potential to trade below N1,000 to the US dollar, provided that key structural reforms and effective monetary policies are implemented.

In a recent interview with financial journalists in Lagos, Adebajo, a renowned investment analyst and partner at Comercio Partners, argued that the current exchange rate does not reflect the true value of the naira but is instead driven by speculation, policy inconsistencies, and a prolonged lack of confidence in the foreign exchange market.

According to Adebajo, several factors justify why the naira should be significantly stronger:

1. Improved Oil Revenue and FX Inflows
“Nigeria has seen an increase in crude oil prices, which has boosted our external reserves and FX inflows. With better management of oil revenues and transparent remittances from the NNPC, we can strengthen the naira," he stated.

2. Monetary Tightening and CBN Reforms
He praised the Central Bank of Nigeria (CBN) under its current leadership for recent reforms, including the harmonization of exchange rates and tightening of monetary policy. “Inflation is beginning to stabilize, and interest rates have been adjusted to attract foreign investment. These are positive steps,” Adebajo noted.

3. Diaspora Remittances and Non-Oil Exports
“Nigeria receives billions annually in diaspora remittances, and non-oil exports are improving. If these inflows are properly harnessed through official channels, the naira could appreciate substantially,” he added, despite the optimism, Adebajo acknowledged persistent challenges such as corruption, infrastructural deficits, and capital flight. He called on the federal government to sustain reforms, improve transparency, and build investor confidence.

“The naira can certainly trade below N1,000 to the dollar if we align fiscal and monetary policies, clamp down on illegal FX markets, and promote local production."