Labour Leader Urges Stronger Naira to Ease Cost of Living Crisis
1st May, 2026
The President of the Trade Union Congress, Festus Osifo, has called for urgent measures to strengthen the naira, arguing that currency stability is key to reducing the rising cost of living in Nigeria.
Speaking during a media interview, Osifo maintained that the naira is currently undervalued and should trade between ₦800 and ₦900 to the dollar under realistic economic conditions. According to him, a stronger currency would significantly lower the prices of essential goods, including petrol and imported items.
He explained that Nigeria’s heavy dependence on imports makes exchange rate stability critical, noting that a properly valued naira could bring petrol prices below ₦900 per litre, with the possibility of further reductions to between ₦400 and ₦500 if global crude oil prices decline.
Osifo also linked the high cost of consumer goods, such as mobile phones, to the weak naira, stressing that currency depreciation continues to erode Nigerians’ purchasing power.
On the ongoing debate over minimum wage, the labour leader advocated a dual approach, saying wage increases should not be treated in isolation from broader economic reforms. He warned that raising wages without addressing underlying economic fundamentals could render any increase ineffective.
“It’s not just about how much workers earn, but what that income can actually buy,” he said, emphasizing that both wage adjustments and currency stability must be pursued simultaneously.
Osifo further alleged that efforts to strengthen the naira often face resistance from certain stakeholders, including investors and sub-national governments, who may benefit from higher exchange rates due to increased naira earnings from dollar-denominated revenues.
He concluded by urging a holistic, multi-sectoral strategy to improve the welfare of Nigerian workers, warning that failure to address structural economic challenges would continue to weaken the real value of incomes.
