The National President of the Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA), Dele Oye, has issued a stern warning that the recent Naira appreciation will fail to improve the daily lives of Nigerians unless accompanied by strict fiscal discipline. Speaking at a business forum in Lagos yesterday, Oye stressed that while the local currency has shown modest recovery against the US dollar, these gains remain largely symbolic if government spending continues unchecked.
“The strengthening of the Naira alone cannot reduce the high cost of living,” Oye said. “Unless there is deliberate cost cutting and a disciplined approach to public expenditure, ordinary Nigerians will not feel any tangible benefit.” He emphasized that the correlation between currency performance and economic welfare is only effective when monetary gains are supported by structural reforms and prudent fiscal management.
According to Oye, the Naira’s rebound has been largely driven by tactical interventions by the Central Bank of Nigeria (CBN), including enhanced foreign exchange liquidity and measures to curb speculative trading. However, he argued that the true test of economic health is the purchasing power of the average citizen. Without corresponding austerity measures and accountability in government spending, inflation and high operational costs of governance will continue to erode any apparent gains.
The NACCIMA chief also highlighted the adverse effects of inefficient governance on private sector growth. “Transparency and accountability in how public funds are utilized are critical,” he noted. “When revenue allocation lacks oversight, private investment is stifled, industrial growth slows, and long-term economic stability becomes an elusive goal.”
Oye pointed to the need for a cohesive strategy that aligns monetary policy with effective management of national resources. While the CBN manages liquidity and stabilizes exchange rates, the executive branch must address structural inefficiencies, reduce wasteful expenditure, and prioritize investment in sectors that directly drive production. He further cautioned that without deliberate industrial policies targeting local manufacturing and reducing import dependency, the Naira’s current performance is unlikely to be sustainable.
Highlighting the previous volatility in Nigeria’s forex market, Oye noted that public distrust in government financial management exacerbated currency instability. “Restoring confidence requires visible austerity measures and targeted investments in productive sectors. Failure to demonstrate this commitment risks reversing gains, leading to renewed devaluation and increased hardship for citizens,” he warned.
Oye concluded by calling for a national dialogue on economic priorities, urging policymakers to embrace a culture of production over mere consumption. “Aligning Naira appreciation with fiscal discipline offers Nigeria a unique opportunity for sustainable growth,” he said. “But this requires political will and tough choices that prioritize collective welfare, ensuring that every Nigerian experiences the benefits of a stabilized economy in everyday life.”
Analysts have noted that the Naira’s recent gains are fragile, with the exchange rate still under pressure from high import bills, energy costs, and inflationary trends. Some economists warn that without structural reforms including tax system efficiency, reduction in recurrent expenditure, and support for local industries, the apparent appreciation could be temporary, leaving Nigerians vulnerable to future currency shocks.