5 days to go: Tinubu’s govt set to miss exchange rate target for 2023 as Naira falls to US Dollar

The federal government's plan to achieve an exchange rate of N750 against the dollar for the Naira by the end of 2023 appears unlikely to be met, with only five days remaining before the new year.

Legit.ng had reported that Taiwo Oyedele, chair of the presidential committee on fiscal policy and tax reforms, told the press that the various policies would help Naira close the year at N750 a dollar.

He described the exchange rate target as the fair value of Naira against the US dollar.

His words: "We think all of that will happen before December, and maybe in a matter of a couple of weeks, we will begin to see the results, such that before the end of the calendar year, the naira should find its true value, not the one that is being done currently in the parallel market" "The government sees a “fair price” for the dollar at N650 to N750"

Since the interview in October 2023, the Naira has touched new records at the official and unofficial markets.

At the official market, Reuters reported that on Tuesday, December 19, 2023, the naira exchange hit a record low of N1,248/$.

Similarly, the Naira has been exchanged for as high as N1,300 at the unofficial markets against the US dollar.

The free fall of the Naira has continued even during the holiday period. According to checks conducted by Legit.ng on Christmas Day and Boxing Day (December 25 and December 26), the value of the Naira in the parallel market was N1,233 and N1,205 per $1, respectively.

The official market was closed on those two days. However, the previous Friday, December 22, 2023, the Naira closed at N885.88 per $1 at the official FMDQ market.

From the trend, it looks certain the exchange rate of N750/$ put forward by Tinubu's government is not likely to happen.