Nigeria currently holds the unfortunate distinction of having one of the most volatile currencies in Africa, with the naira experiencing a dramatic depreciation of over 40 percent in the year 2024 alone. This stark revelation comes from Olisa Agbakoba (SAN), a former President of the Nigerian Bar Association, who has described the situation as one of the continent's worst currency performances.
Three Transformative Reforms to Rescue the Naira
In a detailed letter addressed to the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, dated November 7, 2025, Agbakoba acknowledged the Tinubu administration's achievements, including GDP growth and declining inflation. However, he emphasised that currency instability remains the nation's most critical economic challenge.
Agbakoba argued that the fundamental problem is that the naira lacks the economic pillars that inspire confidence for people to hold and use it. To address this core issue, he proposed three foundational reforms capable of unlocking over 1.5 quadrillion naira in trapped economic value.
Unlocking Dead Capital in Land and Real Estate
The first proposal centres on a comprehensive land and real-estate titling reform. Agbakoba stated that roughly 90 percent of Nigerian land currently has defective or no legal titles, rendering it 'dead capital.'
By converting these assets into legally recognised property, Nigeria could release an estimated $900 billion (equivalent to 1.5 quadrillion naira at N1,500 to $1) into the productive economy. This would enable collateralised lending and encourage investors who currently buy properties abroad to invest locally instead.
"This will deepen naira-denominated asset markets, reduce dependency on dollar-denominated assets for wealth storage, and strengthen demand for the naira by creating viable local investment alternatives," Agbakoba explained.
Expanding the Naira Credit Economy
The second reform involves creating a robust legal and policy framework to expand the naira credit economy. Agbakoba projected that if 200 million Nigerians could access just N300,000 each in credit, it would inject N60 trillion into the economy.
"Naira-denominated credit will boost domestic consumption of locally produced goods and services, reduce import demand and foreign-exchange pressure," he said. A thriving naira credit market would make the currency more attractive as an asset and reduce the speculative attacks that drive exchange-rate volatility.
Mechanising Agriculture for Self-Sufficiency
The third proposal focuses on transforming Nigeria's agricultural sector from subsistence to large-scale mechanised production. This shift would increase productivity, generate export earnings, and eliminate costly food imports.
"Reducing food imports alone could save billions of dollars annually, directly stabilising exchange rates and reducing imported inflation," Agbakoba noted. He added that when a nation feeds itself and exports the surplus, its currency strengthens naturally.
Agbakoba projected that with disciplined execution, these reforms could be realised within a 10- to 20-year horizon. He warned that the work would be painstaking but entirely achievable, citing the recent success of tax reforms as evidence that ambitious policy changes are possible in Nigeria.
