Economists warn Trump’s threat and CPC tag have shaken investor confidence, wiping N2.8 trillion off equities and weakening the naira.
Financial experts have attributed Nigeria’s recent market turmoil to U.S. President Donald Trump’s threat to take military action and his designation of Nigeria as a “Country of Particular Concern.” The Nigerian Exchange Limited lost over N2.8 trillion last week, while the naira fell to N1,437.29 per dollar on Monday.
Mazi Okechukwu Unegbu, former CIBN president, said Trump’s comments “created fear in the air, which has affected investors’ confidence,” causing many to suspend investment plans. He urged investors to view the downturn as a buying opportunity, stressing that Nigeria must “produce what it consumes” to stabilise the naira.
Economist Prof. Godwin Oyedokun said the “massive plunge of over N2.8 trillion” reflects rising geopolitical risk, warning that panic reactions could worsen volatility. He urged calm and called for diplomatic engagement with Washington, saying, “Engage diplomatically and transparently… Effective communication and reforms can help reverse or mitigate the status.”