The National Democratic Congress presidential candidate, Peter Obi, has said he would maintain the floating exchange-rate system introduced by President Bola Tinubu if elected president in the 2027 general election.

Obi, however, said his administration would prioritise boosting productivity to improve the strength and purchasing power of the naira.

The former Anambra State governor stated this on Thursday during an interview with Arise TV.

Asked to identify a policy of the Tinubu administration he would retain if elected, Obi pointed to the floating of the naira.

“There’s one – the floating of the Naira. I’m not going to defend it. But I’m going to put productivity to make it more valuable to the people,” he said.

Obi also cautioned Nigerians against allowing ethnic sentiments to determine their choices during the 2027 elections.

He said, “Our election should not be driven by tribalism.”

The Federal Government introduced the naira floating policy in June 2023 as part of its broader economic reforms aimed at unifying the foreign exchange market and allowing market forces to play a greater role in determining the value of the currency.

The Central Bank of Nigeria subsequently removed restrictions around the Investors and Exporters foreign exchange window, effectively ending the previous multiple exchange-rate regime and allowing the naira to trade more freely against major currencies.

The reform came shortly after Tinubu assumed office in May 2023 and suspended the then CBN governor, Godwin Emefiele.

At his inauguration, Tinubu had announced plans to unify the country’s multiple exchange-rate system, describing the existing arrangement as a distortion that required correction.

The policy was followed by a significant decline in the naira’s value, with the currency moving from below N500 to the dollar at the time to above N1,000/$ and later exceeding N1,500/$ at different periods.

While supporters of the foreign exchange reform have argued that it was necessary to eliminate distortions, improve market transparency and encourage investment, the policy has remained a major subject of debate over its impact on the economy.

Obi’s position indicates that he intends to preserve the floating exchange-rate framework while pursuing a different strategy to improve the underlying economic conditions supporting the currency.

He has consistently advocated moving Nigeria away from what he describes as a consumption-based economy towards greater production, exports and investment.

Obi, who contested the 2023 presidential election on the Labour Party platform, is now seeking the presidency in 2027 under the National Democratic Congress.

Economic management, inflation, exchange-rate stability, unemployment and the rising cost of living are expected to feature prominently in the 2027 presidential campaigns.