City, Nigeria – E be like say our naira don start to shine small! Thanks to the latest foreign exchange reforms wey Central Bank of Nigeria (CBN) don carry come, the stability wey analysts dey talk about fit change the game for forex matter. Dem don notice say forex traders wey dey handle Chinese yuan don start to collect naira instead of dollars, and this one no be small matter o!
Jimi Ogbobine, wey be Head of Agusto Consulting, yarn for The PUNCH say the new reforms under CBN Governor don calm down the forex market wey dey shake before like wetin dem dey call jollof rice without tomatoes. He talk say, ‘Naira don suffer small when we start this reforms, but now, e don find balance. Markets dey shout for strong naira but I sabi say what dem really want na stable naira.’ (Na true talk, abi you fit chop jollof without tomatoes?)
As e be now, the naira don manage to settle down within some predictable range, where dem fit trade without wahala. Jimi also emphasize say this stability dey attract Chinese traders wahala-free because naira be soft currency wey no dey trade internationally. Every time they wanna make transaction, dem go still dey check the dollar. (Naim be the king of all currencies, you sef no say so?).
According to Dr. Ayo Teriba, wey get Economic Associate, naira is more about its connection with the dollar. He talk say, ‘As long as Trump no dey rock the global market, the naira go dey okay. If e waka go 1,600/$, na wah o!’ He still dey hopeful say the reserves dey rise, so naira fit continue this calm journey. Imagine naira go come strong like when e dey 1,400/$, we go gather for street party. (Na to pop champagne we go do, trust Naija people!)
Lukman Otunuga, the Senior Market Analyst wey dey represent FXTM, don also yarn say naira don step into September better pass many African currencies against the dollar and yuan. Naira don just gather confidence, gaining 0.5 percent against USD and 0.8 percent against yuan. Dis one fit help businesses to directly trade with local currencies instead of dollar wahala. (We like am, make all those dollar wahala park well!)
This new opening dey come as Nigeria-China currency swap agreement don renew for $2 billion last December. We dey cross our fingers say if dem fit take away USD from the equation, naira go shine in long run, especially with China as Nigeria’s biggest trading partner.
Plus, e fit help say President Bola Tinubu don boast say FG meet its revenue target for 2025. Dis one go help cushion against external shocks, and na good news for naira stability. As naira dey rebound, capital inflow don begin to enter like chicken wey dey rush for grains.
Tanimu Yakubu, wey dey run Budget Office, don hammer say though di initial reforms pain dem, e don turn naira from weakness to competitiveness. E talk say flow of oil money, diaspora remittances, and clearing of $4 billion foreign exchange backlog don restore investor confidence like nothing wey we don see before. Now goods wey dey Nigeria go cheap for foreign markets, e dey sweet for our farmers and businesses.
As we dey observe the changes, non-oil exports don rise from $2.696 billion in H1 2024 to $3.225 billion in H1 2025. Dis growth na serious matter, as e mean say foreign buyers dey buy our goods plus value, no be only price matter again. We dey enter sweet spot for trade, and exporters go fit reinvest into production as naira value of their earnings dey increase.
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