Naira could trade below ₦1,000/$1 before year-end

By Lawrence Agbo

Billionaire businessman Femi Otedola has expressed optimism that the naira could trade below ₦1,000 to the US dollar by the end of 2026 as Dangote Refinery reaches its full 650,000 barrels per day capacity.

In a Thursday post on X, Otedola stated that pressure on the foreign exchange market will drop significantly.

“With domestic refining now firmly underway after decades of reliance on imports, pressure on the foreign exchange market should ease significantly.

“I am optimistic that the naira will strengthen meaningfully, and trading below ₦1,000/$1 before year-end is increasingly within reach,” he said.

Also, he highlighted that the refinery’s output of up to 75 million litres of petrol daily will shift Nigeria’s energy landscape and reduce pressure on the foreign exchange market.

“It is transformational for Nigeria and Africa. Supplying up to 75 million litres of PMS daily changes our energy narrative and conserves foreign exchange,” Otedola stated.

Femi Otedola also noted Dangote’s ongoing $12 billion expansion, which will raise refining capacity to 1.4 million barrels per day and include the production of 2.4 million tons of polypropylene and 400,000 metric tons of Linear Alkyl Benzene for detergent manufacturing, with work already underway.

“Aliko is not stopping here. He has embarked on an additional $12 billion expansion to increase refining capacity to 1.4 million barrels per day, alongside 2.4 million tons of polypropylene and 400,000 metric tons of Linear Alkyl Benzene for detergent production.

“Work has already commenced in earnest,” he added.