In a major move, Nigeria’s House of Representatives is pushing a new law to stop the use of foreign currency like US dollars for everyday transactions inside the country. The proposed ban aims to force the use of the Nigerian Naira for all local payments.
This legislation seeks to make it illegal to price goods or services in dollars for domestic sales. Exceptions would only be allowed in special, government-approved cases, such as certain international travel or authorized banking channels.
The lawmakers also want to create a single, official exchange-rate system. This effort targets the widespread practice where businesses, especially in high-end real estate, private schools, and luxury hotels, charge fees in foreign currency.
Experts say this “dollarization” weakens the national currency and sidelines the Central Bank’s monetary policies. It creates a two-tier economy that disadvantages ordinary citizens who earn in Naira.
If passed, violators of the ban would face significant penalties. The government’s goal is to restore the supremacy of the Naira and regain control over the country’s monetary system.
This move is seen as a direct response to the nation’s ongoing foreign exchange crisis. It represents one of the strongest recent attempts to curb the dollar’s influence on Nigerian domestic economic activity.
