A chieftain of the Labour Party (LP), Doyin Okupe has advised President Bola Tinubu to quit Nigeria’s membership of the Organization of the Petroleum Exporting Countries (OPEC).
According to him, the move could push Nigeria’s foreign exchange revenue up by as much as 200% and allow the Central Bank of Nigeria (CBN) to be able to supply more forex to the banks.
Naija News reports Okupe gave the advice as part of his open letter to the President on Thursday titled ‘For President Bola Tinubu: Still Many Rivers to Cross’.
The former presidential aide noted that oil reserves may become meaningless in about two decades from now and the country needs to take action.
“Nigeria must quit OPEC. In about two decades from now, oil reserves may become meaningless,” the former Labour Party presidential campaign director said.
“The present allocation of less than 2 million barrels per day for Nigeria with a population of over 200 million people and its prevailing strangulating economic conditions, given volumes of export to our main foreign exchange earner (90%) is inimical to our growth as a nation and to the wellbeing of the citizens.”
Without OPEC restrictions, Okupe argued that Nigeria could reduce its selling price of crude but also increase exports to three million barrels and above per day which will make the naira gain value over the dollar.
“This will increase accruable revenue from forex by up to 200% or more, which will allow the CBN have more supply of forex to the banks. In the face of surplus liquidity in forex supply, Naira will gain tremendous value over the Dollar,” he said.
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