Nigerian Naira Weakens as External Reserves Rise, FDI Concerns Grow

The Nigerian Naira weakened by N9.88 against the US Dollar despite rising external reserves, reaching N1,494.01 per dollar. The Central Bank of Nigeria (CBN) reported an increase in external reserves to $41.89 billion.

Aloysius Uche Ordu from the monetary policy committee highlighted the need for coordinated government action to attract more foreign direct investment (FDI). Nigeria attracted only $1 billion FDI in 2024, significantly lower than other countries like Indonesia, India, Egypt, Brazil.

This low FDI inflow raises concerns about the country's economic growth and job creation prospects.