Bismark Rewane Forecasts Naira to Dollar Exchange Rate
- Economist Bismark Rewane has once again released new insights into the expected economic performances
- One of the highlights is the movement of the naira against the US dollar in the official exchange markets
- Naira, in recent weeks, has been stable both at the official foreign exchange market and the black market
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Bismarck Rewane, the Chief Executive Officer of Financial Derivatives Company, has projected that the naira will close at N1,492/$ in 2025.
The positive outlook, he said, is driven by the domestication of corporate debt, diaspora inflows and remittances, and a likely Eurobond issuance.
These factors are expected to improve dollar supply and reduce pressure on the exchange rate.
Source: Getty Images
He disclosed this in his presentation on the Nigerian economy in Q3, titled External Uncertainties and Domestic Vulnerabilities.
Despite the positive outlook, Rewane cautioned that if oil prices fall below $65 pr barrls, the naira will weaken.
Rewane also disclosed the key factors determining currency stability and sustainability.
He said:
"Inflation is projected to decline to 21.3% in 2025 and further to 14.9% by 2026, driven by exchange rate stability.
"Value-added tax is anticipated to increase to 15% by 2029, given the depth of the fiscal constraints."
New naira to dollar exchange rate
The Nigerian naira closed the week(Friday, August 8) against the US dollar in the official foreign exchange market at N1,534.
Source: Facebook
Friday's rate is a slight appreciation when compared to the N1,535 the Central Bank of Nigeria quoted on Thursday in the Nigerian Foreign Exchange Market (NFEM).
According to CBN data, participants bid for the dollar at rates as high as N1,536, while the lowest rate recorded during trading was N1,532.5.
On Friday, the International Money Transfer Operators. (IMTOs) pegged the dollar exchange rate at N1,528.
However, it was a different outcome against the British pound sterling and the euro.
CBN data also showed that the naira depreciated against the pound sterling in the official market during the session by N1.31 to settle at N2,060.34/£1 compared with the preceding session’s N2,059.03/£1.
The naira also lost 96 Kobo against the euro to quote at N1,786.60/€1 versus Thursday’s closing price of N1,787.56/€1.
FG's new law bans unregistered online forex platforms, others,
Earlier, Legit.ng reported that President Bola Tinubu signed the Investments and Securities Act 2025 into law, introducing several reforms.
In one of these reforms, online foreign exchange (forex) trading platforms and other online exchanges have been declared illegal.
One of the key changes is that it has made it illegal to operate digital asset exchanges or online foreign exchange trading platforms without formal registration with the Securities and Exchange Commission (SEC).
The new law is a move aimed at protecting Nigerian investors in the online space and curbing market abuses.
PAY ATTENTION: Сheck out news that is picked exactly for YOU ➡️ find the “Recommended for you” block on the home page and enjoy!
Source: Legit.ng
