In a surprising turn of events, Clement Jimbo, a federal lawmaker, has forecasted that the Nigerian Naira will equal the United States Dollar in less than 16 years. This prediction comes despite the Naira's recent record low against the Dollar.
"In less than 16 years from now, they will be equalled again," Mr Jimbo stated in a Facebook post, illustrating his point with a picture of folded N100 and $100 bills. However, he did not provide an explanation for this prediction.
Mr Jimbo, a representative of the Abak/Ika/Etim Ekpo Federal Constituency of Akwa Ibom State in the House of Representatives and a member of the All Progressives Congress, made this prediction amidst the ongoing depreciation of the Nigerian currency against the dollar.
It was reported that the Naira closed at N1,598.54 for $1 at the official market on Monday, marking a 3.94 per cent depreciation compared to Friday’s rate of N1, 537.96. The last time the Nigerian and US currencies were on par was in 1985 when one Naira was exchanged for a Dollar. Thirty-four years later, the Naira to Dollar exchange rate has surged by over a thousand percent to N1,598.54 against the US Dollar.
Providing an economic perspective on the lawmaker's prediction, Professor of Economics, Akpan Ekpo, argued that unless actions are taken to address the current decline, there would be no Naira currency left to equal the US Dollar by the year Mr Jimbo predicted.
Mr Ekpo, a former vice-chancellor of the University of Uyo, expressed his views in an interview on Tuesday. He urged the lawmaker to clarify the framework and model he used to arrive at his conclusion.
"Naira is going through a free-fall and if something is not done, 16 years is even too far, in the next two years the currency will be worthless," Mr Ekpo warned. He emphasised the need for a productive economy to bolster the Naira, advocating for the manufacturing and export of non-oil goods to earn foreign exchange and appreciate the value of the currency.
"We cannot rely on market forces. You can even see every week, it is depreciation," Mr Ekpo added, predicting that by the 16 years forecasted by the lawmaker, there will be no currency.