Recent price movements indicate that the Nigerian currency has remained in a consolidation phase in the unofficial market, fluctuating between N2,150 and N2,250/£/£ this month due to increased buying pressure on the British pound in Nigeria’s commercial capital.
Recent monetary fundamentals suggest that the CBN’s ongoing reforms, along with the participation of foreign investors, will be crucial in determining whether the Nigerian naira remains stable in 2025.
However, the naira experienced a positive shift with the establishment of global depositary notes denominated in naira by BNY Mellon and Standard Bank, backed by Nigerian sovereign debt. It aims to provide foreign investors with easier access to Nigeria’s high-yielding debt market.
The new depositary notes will be settled through Euroclear and Clearstream, two significant international clearing systems, enabling a broader range of institutional investors worldwide to participate. This development is seen as a major step forward.
(Nairametrics)
