The Nigerian currency, the Naira, is expected to decline to a fair value of ₦1,804 per dollar in the official market by 2025.
This forecast is outlined in a recent Afrinvest report, ‘Beyond The Rhetorics: Transforming Reforms
to Tangibles’.
The report indicates that this projection stems from the expectation that the Central Bank of Nigeria (CBN) may face challenges in fulfilling foreign exchange demands and managing anticipated fluctuations in the foreign exchange market in the upcoming months.
“We anticipate that exchange rate volatility will persist in 2025, albeit at a modest pace.
“Our prognosis is hinged on the belief that the CBN would be constrained from adequately meeting market demand on a sustained basis, as the recent FX reserves accretion was largely driven by inflows from inorganic sources, including those with stringent conditions on usability,” the report said.
This contrasts with the ₦1,500 per dollar rate suggested in the 2025 budget presented to the National Assembly.
- Bournemouth Humiliate Manchester United 3-0 at Old Trafford as Carrick Faces Mounting Pressure
Bournemouth delivered another painful blow to Manchester United on Sunday,… - Tragedy in Kogi: Police Corporal Allegedly Kills Female Colleague, Takes Own Life After Reported Relationship Crisis
A tragic shooting incident involving two serving police officers has…
Meanwhile, reports on Friday confirmed that the Naira appreciated in the official market, closing at ₦1,534 per dollar, while it reached ₦1,650 in the black market.
Despite the persistent fluctuations of the Naira throughout 2024, implementing the Electronic Foreign Exchange Matching System (EFEMS) in October has contributed to a degree of stability
