Macroeconomic Forecast Nigeria

BMI View: Recent auction data suggests that the pressure on the naira may be easing, and we expect the downward trend seen in the interbank market to come to an end shortly. We believe that the new official currency band - now between NGN150.50/US$ and NGN159.50/US$ - is not in danger of further adjustment, as foreign reserves are adequate to defend the currency and speculative demand for dollars is beginning to ease. On the interbank market, we are forecasting average exchange rates in 2012 and 2013 of 157.50/US$ and NGN155.00/US$ respectively.

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