Nigerian Naira Strengthens Against Dollar, Experts Warn of Devaluation Risks

The Nigerian Naira has appreciated against the US Dollar in both official and unofficial foreign exchange markets, with rates closing at around N460 on Thursday. Chidi Ajaegbu of the Institute of Chartered Accountants of Nigeria (ICAN) expressed concerns about a potential devaluation by 2027 due to excessive borrowing.

Godfrey Okoy cautioned against the government's heavy reliance on borrowing, citing economic risks and discouragement of investors. The Central Bank of Nigeria's increased foreign exchange reserves are seen as crucial for stabilizing the economy and improving the country's credit outlook, according to reports by Vanguard.