Businesses Expect Naira Appreciation Against Dollar in 6 Months

A survey released by the Central Bank of Nigeria (CBN) reveals that businesses in Nigeria anticipate a gradual appreciation of the naira against the United States dollar over the next six months. The survey, which captures business sentiment from April 2026, shows that despite persistent structural and macroeconomic challenges, firms remain cautiously optimistic about the economy.

The overall business confidence index stood at 3.9 points during the review period. The CBN continues to maintain a tight monetary policy stance to curb inflation and stabilize the foreign exchange market.

Businesses are pushing for lower financing costs and improved operational conditions. However, borrowing costs are expected to remain elevated despite anticipated improvements in exchange rates and liquidity conditions.

Major constraints affecting operational expansion include financial constraints and poor infrastructure. The CBN is scheduled to hold its 305th Monetary Policy Committee meeting next week, where investors will closely watch for policy directions following the last meeting, which resulted in a reduction of the monetary policy rate (MPR).