Fitch Ratings, an international credit agency, forecasts the Nigerian naira to end 2024 at 1450 per dollar. They acknowledge the recent volatility but anticipate it to decrease by Q3 due to factors like improved oil receipts and foreign aid.
Their baseline projection is an average exchange rate of 1200/$ for the year. They believe sustained stability in the foreign exchange market, supported by a stronger oil sector and improved tax collection, could lead to a future upgrade in Nigeria’s credit rating.
Fitch expects the Dangote refinery to boost Nigeria’s oil refining capacity and potentially reduce dependence on expensive imports, further easing pressure on foreign exchange reserves.
Source: Business Day