A strategic meeting of the Lagos Chamber of Commerce and Industry (LCCI) ended today raising serious concerns over the current methodology of the Central Bank of Nigeria (CBN) in the management of foreign exchange.
The meeting chaired by its president Remi Bello noted that the current model of foreign exchange management by the CBN has profound negative consequences for investors’ confidence and the stability of the foreign exchange market.
A communique issued at the end of the meeting and signed by the director general Muda Yusuf called for urgent and a more strategic framework for the management of the foreign exchange market.
It also urged President Muhammadu Buhari to quickly set up an economic team that will interface with the CBN, the organised private sector (OPS)
and the key economic ministries to come up with a sustainable model for the management of the foreign exchange market.
“Council notes the current macro-economic challenges facing the nation, especially the decline in foreign exchange inflow.
The numerous efforts by the Central Bank of Nigeria to protect the foreign reserves and stabilize the exchange rate were acknowledged” LCCI said.
The meeting however, expressed concern over the fiscal outlook for all levels of government and the weak capacity of the governments to meet their financial obligations.
It said that the intervention of the Federal government in mitigating the conditions of the States and Local government was commended but however noted that the current situation underscores the imperative of economic diversification and prudent management of state resources.
“Council notes and commends the new administration on its efforts at blocking all fiscal leakages and recovery of looted funds.
Council proposed that to complement these efforts, appropriate systems, structures and institutions should be put in place at all levels of government to sustain the integrity and transparency of Public sector transactions” the statement said.
The LCCI also urged the Federal government to unveil its economic blueprints in order to stem the tide of declining investor’s confidence in the economy.