While the official rate is between N197-N199, the black market is closing in on N400, forcing many analysts to push for an official devaluation of the currency to reflect market realities.
Reiterating his opposition to the devaluation of the naira, Buhari said Nigeria cannot compete with developed countries which produce to compete among themselves and can afford to devalue their local currencies.
Making contributions to a presidential panel roundtable on investment and growth opportunities at the opening session of the Africa 2016 business forum in Egypt on Saturday, Buhari said the priority of his administration was to ensure national food security before export of food products.
“The land is there and we need machinery inputs, fertilizer and insecticides,” he said.
“Developed countries are competing among themselves and when they devalue they compete better and manufacture and export more. But we are not competing and exporting but importing everything including toothpicks. So, why should we devalue our currency?
“We want to be more productive and self-sufficient in food and other basic things such as clothing. For our government, we like to encourage local production and efficiency.”
He added that those who have developed taste for foreign luxury goods should continue to pay for them rather pressure government to devalue the naira. The president expressed optimism that Nigeria would get out of its current economic downturn, saying another major problem militating against economic revival is the huge resources deployed towards fighting insurgency and international terrorism.
He commended the support being received from the international community in the administration’s fight against terrorism as well as cooperation in tracing looted funds stashed away in foreign countries. Responding to a question on his performance since he assumed office, the president said his administration had been “quite focused” on three fundamental issues of securing the country, reviving the economy and stamping out corruption.
“The message on corruption has been driven home vividly and Nigerians are very acceptable to the message,” he said, adding that those accused of stealing public funds are cooperating by voluntarily providing useful information while investigations and prosecutions are ongoing.
In his opening address at the Forum, the Egyptian President, Abdel-Fattah El-Sisi, said Africa needs to concentrate on transforming into knowledge societies using innovation and research. The Presidents of Gabon, Equatorial Guinea, Sudan and the Prime Minister of Ethiopia also participated at the Roundtable.
In his opening message, Akinwunmi Adesina, president of the African Development Bank (AFDB), said “Africa must think big, act big and develop big”. Before departing Egypt, Buhari and his Egyptian host, had a bilateral discussion on security, military cooperation, agriculture and solid minerals development.