Bloomberg reports show Naira currency edges up on muted dollar demand, Kenya’s Shilling holds steady, while Ghana’s Cedi and Zambia’s Kwacha under pressure.
Nigerian Naira edged higher against the U.S. dollar in September, supported by rising foreign reserves and muted demand for hard currency, Bloomberg reported. Traders expect the local unit to maintain slight gains in the coming days, helped by central bank interventions.
The naira gained ₦50.75 during the month, trading around 1,478 per dollar in the official market on Thursday, compared with 1,485 a week earlier. On the parallel market, the exchange rate was quoted at about 1,485 per dollar.
“I expect the naira to edge stronger this week, thanks to easier funding conditions which are easing liquidity pressure,” one trader told Bloomberg. The trader added that stronger reserves have given the Central Bank of Nigeria more room to act in support of the currency.
Bloomberg noted that the outlook for other African currencies remains mixed. In Ghana, the cedi continued to weaken as demand for dollars rose from the manufacturing, energy, and services sectors. According to London Stock Exchange Group (LSEG) data cited by Bloomberg, the cedi slipped to 12.50 per dollar on Thursday from 12.30 a week earlier.
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“The cedi remains on a gradual depreciation path despite sustained interventions by the central bank through its FX auctions,” said Chris Nettey, head of trading at Stanbic Bank Ghana. He explained that competition for limited dollar inflows outside the official market was increasing, likely adding further pressure in the coming sessions.
Zambia’s kwacha also faces a challenging outlook. The currency traded at 23.99 per dollar on Thursday, compared with 23.97 a week earlier. Bloomberg quoted Access Bank as saying that sustained corporate demand for hard currency is expected to keep the kwacha on the defensive.
In contrast, Kenya’s shilling has remained relatively stable through 2025. The shilling was quoted at 129.00/40 per dollar on Thursday, nearly unchanged from 128.90/129.30 the week before. Bloomberg cited traders who expect the shilling to hold steady due to balanced flows between dollar supply and demand.
Bloomberg’s report underscores the uneven performance of African currencies, shaped by global dollar strength, local liquidity conditions, and central bank policy actions. While Nigeria’s naira shows tentative recovery, Ghana and Zambia continue to grapple with mounting pressures on their local units.
