Sowunmi Challenges Utomi's Naira Strengthening Claims: "Political Fantasy, Not Feasibility"

Segun Sowunmi, a chieftain of the Peoples Democratic Party (PDP) and member of the All Progressives Congress (APC) Presidential Campaign Council, has taken aim at Pat Utomi’s assertion that Peter Obi could strengthen the naira to ₦500 per dollar if elected president.

 In a post on X, Sowunmi dismissed the proposal as a “textbook example of confusing political aspiration with economic feasibility.”

Utomi, a political economist and member of the Nigeria Democratic Congress (NDC), had earlier claimed that the target would be a key feature of Obi's manifesto.

 He argued that achieving an exchange rate of ₦500/$ would help curb inflation and reduce the cost of living.

Sowunmi questioned how such a dramatic exchange-rate target would be maintained, asking, “Where is the additional foreign exchange coming from?”. 

He pointed out that the dynamics of exchange rates are influenced by a variety of factors, including productivity and export earnings, making it unrealistic to expect a strengthened naira without substantial economic improvement.

He further critiqued Utomi’s projections on commodity prices, particularly cement, arguing that a $10 bag would cost ₦5,000 at the proposed rate, rather than ₦2,000 as Utomi suggested.

 “This assumption lacks economic justification,” Sowunmi asserted, emphasizing that currency appreciation without productivity gains could harm local manufacturers.

Sowunmi acknowledged the ambition to reduce living costs and poverty but stressed that such goals require a robust strategy focused on agriculture, industry, infrastructure, and sound economic management. 

The naira should strengthen because the economy is stronger, not just as a catchy manifesto headline,” he insisted.

He warned that without a clear explanation of how proposed policies would work, including costs and measurable targets, the manifesto risks being seen as mere political rhetoric rather than a viable economic plan.

The exchange between Sowunmi and Utomi highlights a growing debate over economic strategies in Nigeria as the 2027 elections approach.

 With competing visions for the country's future, the discussions around currency stabilization and economic management are likely to remain central to the political discourse.

As the stakes rise, Sowunmi's challenge to Utomi underscores the complexities of Nigeria's economic landscape and the necessity for credible, actionable plans that go beyond aspirational promises. 

As voters prepare to make decisions, the clarity and feasibility of these proposals will be crucial in shaping the country's economic future.