Dollar Selloff Temporary, Be Wary In Coming Weeks — Analysts - Newstrends
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Dollar Selloff Temporary, Be Wary In Coming Weeks — Analysts

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Dollar to Naira Exchange Rate Today: Naira Holds Steady as Fuel Importer Demand Mounts

The appreciation of the naira wit­nessed in the black market segment of the foreign exchange market to­wards the end of last week has been described as a temporary reprieve by analysts, who warned that it may de­preciate in the coming weeks.

The naira, since Wednesday, last week, gained between N200 and N240 against a dollar. The dollar was exchanged for N900, N920 and N940, depending on the location or volume until the evening of Wednesday, last week, when it began to drop.

 As at the time of filing in this report, a dollar was exchanged for between N640 and N660.

While a cross section of analysts, who spoke to Daily Independent, believe that the appreciation was as a result of the backlash of the panic buying witnessed in the last two weeks due to the reaction to the plan of the CBN to redesign three naira denominations, others said it may be the handiwork of the CBN to calm the situation.

Just as the theory of supply and demand helps in determin­ing prices in a free market, rising demand and improved supply have contributed to moderating rate.

There have been questions about what triggered the im­proved supply of FX in the black market last week. However, there were reports that the U.S. will re­strict the acceptance of dollars printed below 2021, to checkmate the dollar stockpile in Africa.

This speculation put some FX hoarders on their feet, who do not want to be caught un­awares, incentivising them to convert their FX for naira.

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There have been concerns in the past week by analysts that the fall of the local currency in the past weeks was rather specu­lative than intrinsic.

They claimed that the move by the anti-graft agency to arrest traders selling the U.S. dollar at a higher rate was aimed at serving as a deterrent to others, whilst discouraging currency specu­lation.

According to black market operators, the exchange rate between the naira and the dol­lar appreciated by 8.72 percent on Friday, November 11, 2022, to close at N660/$1 from N700/$1 recorded on Thursday.

In the last four days, the local currency recorded significant gains against the dollar from a record low of N920/$1 recorded in the previous week. The ex­change rate has now touched its highest level since August 19, 2022. It is worth noting that the rate varies across various loca­tions and depend on the trans­action volume.

However, the naira closed against the dollar at N446.1/$1 at the I&E window on Friday. This represents a slight depreci­ation of 0.1 percent in contrast to N445.67/$1 that was recorded in the previous trading session.

FX turnover at the official market fell slightly by 3.29 per­cent to $89.95 million on Thurs­day, compared to $93.01 million that was traded on Wednesday.

Nigeria’s external reserve de­clined by 0.07 percent to stand at $37.247 billion as of November 9, 2022, in contrast to $37.272 billion recorded as of the previous day.

Furthermore, an exchange rate of N447/$1 was the high­est rate recorded during in­tra-day trading before it settled at N446.1/$1, while it traded as low as N415/$1 during intra-day trading.

A total of $89.95 million in FX value was traded at the Inves­tors and Exporters window on Thursday, which is 3.29 percent lower than the $93.01 million traded on Wednesday.

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In conversations with several blackmarkettradersattheweek­end, Daily Independent gathered that the dollar was selling with­in N700/$ and N650/$ for cash transactions, representing about a 30 percent gain from N900/$1 recorded the previous weekend.

These traders attributed the sudden improvement in the local currency to eased demand and increased inflows of FX in the market.

Mr. Sanni Mohammad, a forex trader in Lagos, said, “The changes in the rate are really very sudden, but it is as a re­sult of increased dollars in the market compared to the high demand in the previous week.”

Another trader, Mohammed Mandara, opined they have seen increased supply and very few people are buying due to fear that the exchange rate could appreci­ate further.

Sources also indicate there was the injection of forex in the market by the central bank even though there is no official record backing this claim.

FX traders attributed the changes in the exchange rate to the decline in the demand for dollars in the market.

Malam Ilyasu Gindi at the Murtala Muhammed Inter­national Airport said that the demand for FX has decreased significantly compared to what it was in the last two weeks.

“On Friday morning, I bought dollars at the rate of N720/$1, and by evening, I bought at the rate of N670/$1 because a lot of people are now bringing dollars into the market to sell,” he said.

Oladejo Emmanuel, an econ­omist, is of the opinion that there must be a behind the scene inter­vention by the apex bank to tame the trend that had characterised the black market segment and bring a sudden calm into the economy.

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He said, “If you noticed, you will see that the drop of about N200 on Thursday was so sudden and must have been influenced by higher interven­tion and I suspect the CBN or its agents”.

Matthew Ogagavworia, a financial analyst, told Daily Independent that the sudden ap­preciation might have been as a result of several factors.

He said, “One factor is that of Nigerians who speculated that the dollar will continue to rise because most illicit funds will find their way to BDCs. Some of them went on their own and brought in their genuine mon­ey in anticipation that the dollar will soon rise beyond N1000.

“The sudden drop we are seeing could be as a result of the slowdown in commercial activi­ties due to the approach of year end. Most traders do cool their de­mand for forex for the purpose of import as the year runs to an end.

“There is also the expectation that once a new government comes in after the election, the atmosphere may change and the naira may gain confidence and you will not be able to sell the dollar even at the price you bought it.

“We are also faced with the possibility that the CBN’s spot­light on the activities of BDC operators to prevent them be­coming a dumping ground for illicit money stashed in drums and water tankers could be re­sponsible.

“I suspect these BDC oper­ators have been sluggish in ac­cepting big sums of naira. They are in fact rejecting large cash.

“Though, as good as it may look, I think this is a temporary calmness except if the regulato­ry authority did not go back to sleep as they used to do in cases similar to this.”

This time, last year, the ex­change rate appreciated from about N577/$ in early October to about N535/$ by mid-November.

The exchange rate at the black market will eventually close the year at about N575/$ by late December before closing the year at N560/$.

Predicting the exchange rate is an incredibly difficult under­taking as a dynamic interplay between demand and supply is the official determinant.

We also anticipate an influx of forexfromdiasporaNigerians during the Christmas holiday in December as is usually the case every year. This will positively impact FX rates.

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ABC Transport Expands Hospitality Business, Secures Abia Approval for Aba City Transit Inn

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ABC Transport Expands Hospitality Business, Secures Abia Approval for Aba City Transit Inn

 

ABC Transport Plc is set to expand its hospitality business with plans to establish a new City Transit Inn (CTI) hotel in Aba, Abia State, following approval granted by the Abia State Government for the development.

According to the company, the Aba project represents the next phase of CTI’s growth strategy as the hospitality arm of ABC Transport seeks to strengthen its presence in key commercial centres across Nigeria and provide travellers, business visitors and other customers with affordable, safe and quality accommodation.

The planned facility is expected to feature air-conditioned rooms with private showers, uninterrupted power supply, complimentary internet access and a comfortable environment, reinforcing CTI’s commitment to providing decent and accessible accommodation while delivering value to customers.

ABC Transport Plc is one of Nigeria’s diversified transportation companies, with core operations spanning passenger transportation, haulage, cargo logistics, hospitality and driver training.

Through City Transit Inn, the Group has operated in the hospitality sector for more than two decades, with its Abuja property serving as the foundation for the brand’s planned expansion into other major Nigerian cities.

ABC Transport Plc is quoted on the Nigerian stock market under the ticker ABCTRANS

Why Aba?

The decision to establish the new facility in Aba reflects the city’s growing commercial and business activities, supported in recent years by improvements in infrastructure, including road connectivity and power supply.

As one of southeastern Nigeria’s major commercial centres, Aba is said to offer a strategic opportunity for City Transit Inn to serve an expanding population of business travellers, visitors and other customers while complementing ABC Transport’s existing transportation and logistics operations in the region.

The Aba project is part of a broader hospitality expansion programme, with Port Harcourt and Lagos also identified as potential locations for future CTI facilities.

Building on CTI’s Experience

The expansion into Aba builds on the experience of City Transit Inn Abuja, a 113-room budget-friendly hotel owned and operated by ABC Transport since 2001.

Located in the Federal Capital Territory, CTI Abuja has provided travellers and visitors with affordable, decent and safe accommodation, allowing guests to maximise their budgets for experiences, dining and other activities.

The experience gained from operating CTI Abuja provides a strong foundation for the brand’s expansion into other commercial centres, with the Aba project marking an important step in the next phase of its growth.

Part of ABC Transport’s Diversification Strategy

The expansion of City Transit Inn is also aligned with ABC Transport Plc’s broader strategy of strengthening its non-passenger businesses and developing multiple complementary revenue streams beyond traditional passenger transportation.

In recent years, the company has pursued growth in its haulage and cargo logistics operations, with the expansion of these businesses contributing to the Group’s overall growth and profitability.

ABC Transport’s diversification strategy also encompasses its driver training and hospitality businesses, positioning the Group to participate across multiple segments of Nigeria’s transportation and mobility ecosystem.

The development of the Aba hotel, therefore, represents more than an expansion of the hospitality business; it is part of ABC Transport’s broader strategy to build a more diversified and resilient business portfolio.

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Keyamo Issues One-Week Ultimatum to Airlines Over Debt Repayment Plans

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Keyamo Issues One-Week Ultimatum to Airlines Over Debt Repayment Plans
Minister of Aviation and Aerospace Development, Festus Keyamo

Keyamo Issues One-Week Ultimatum to Airlines Over Debt Repayment Plans

The Minister of Aviation and Aerospace Development, Festus Keyamo, has given airlines operating in Nigeria one week to agree on realistic repayment plans with aviation agencies over their outstanding financial obligations. This directive was part of resolutions reached at an emergency stakeholders’ meeting convened by Keyamo on Thursday, August 13, 2026, to address the recent industrial dispute between aviation sector unions and some airlines. The meeting followed the temporary suspension of industrial action by aviation unions on Tuesday, August 11, 2026, which disrupted operations at some airports across the country, causing widespread concern among passengers and stakeholders. The emergency meeting was attended by representatives of airlines, aviation sector unions, and heads of aviation agencies, including the Nigeria Civil Aviation Authority (NCAA), the Federal Airports Authority of Nigeria (FAAN), and the Nigerian Airspace Management Agency (NAMA). The Minister emphasized that the era of impunity in the aviation sector is over and that airlines must take responsibility for their financial obligations while working with the government to resolve outstanding debts amicably.

According to a statement signed by the Permanent Secretary, Ministry of Aviation and Aerospace Development, Mahmud Adam Kambari, the NCAA and other aviation agencies were directed to obtain payment schedules from airlines, taking into consideration their operating costs and prevailing economic realities. The statement emphasized that the Directors of Finance and Accounts of all aviation agencies were to meet individually with the affected airlines and agree on realistic repayment plans within one week. The resolution is aimed at addressing financial obligations owed by airlines to aviation agencies while preventing the disputes from escalating into further industrial action and disruption of air travel. The Minister stressed that the repayment plans must be realistic and achievable, as the government is not interested in empty promises but in concrete actions that will restore financial sanity to the sector. Airlines that fail to comply within the stipulated timeframe would face drastic actions, including the possible grounding of aircraft and suspension of operating licenses.

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The emergency meeting was convened in response to a growing industrial dispute between aviation sector unions and some airlines. The unions had threatened industrial action over issues including the unionisation of airline workers and the alleged refusal of some airlines to allow their employees to join trade unions. The dispute escalated to the point where aviation unions temporarily suspended industrial action on Tuesday, August 11, 2026, which had disrupted flight operations at some Nigerian airports, causing significant inconvenience to passengers and raising concerns about the stability of the aviation sector. The disruption had heightened fears over possible widespread cancellations and delays, prompting the Minister to intervene swiftly to prevent a full-blown crisis that could have paralyzed air travel across the country.

The stakeholders also reached an agreement on the contentious issue of unionisation among airline workers. The Minister affirmed the right of workers to decide whether or not to belong to trade unions, stressing that such decisions should be made directly by the workers rather than through airline management. Consequently, the NCAA was directed to ensure that aviation unions have direct access to workers of all airlines solely for the purpose of distributing union forms to enable employees to indicate whether they wish to unionise. The ministry warned that any airline that prevents the unions from having such direct access would face sanctions from the NCAA, including possible fines or suspension of operating licenses. This resolution represents a significant victory for workers’ rights in the aviation sector and ensures that employees can exercise their freedom of association without interference from employers.

The stakeholders further resolved that another meeting would be convened in one month to review progress made in implementing the resolutions and assess the state of the aviation sector. The statement described the resolutions as collective decisions of all parties at the meeting, emphasizing the collaborative approach taken to resolve the disputes. The Minister, while assuring stakeholders of the Federal Government’s commitment to a safe and viable aviation sector, reiterated President Bola Tinubu’s commitment to maintaining a safe, efficient, peaceful, and sustainable aviation industry. This commitment aligns with the broader agenda of the current administration to reform critical sectors of the economy and ensure the welfare of workers and the public. The Minister also noted that the government would continue to engage with stakeholders to address other challenges facing the industry, including infrastructure decay, multiple taxation, and the high cost of aviation fuel.

The latest intervention comes after the aviation unions temporarily suspended their industrial action following the disruption of flight operations at some airports on Tuesday. The dispute had heightened concerns over possible disruptions to air travel and the financial pressures facing airlines operating in the country. Airlines now have until August 20, 2026, to agree on repayment plans with aviation agencies. The Ministry has set up a task force to review the submissions and ensure compliance. Airlines that fail to meet the deadline or fail to reach acceptable repayment agreements will face sanctions, which could include suspension of operating licenses, grounding of aircraft, prohibition from accessing government facilities, and legal action to recover outstanding debts. The Ministry has also directed the NCAA to ensure that aviation unions have direct access to airline workers to distribute unionisation forms, and any airline found obstructing this process will face sanctions. This development marks a significant step in the Minister’s broader efforts to reform the aviation sector, improve financial accountability, and ensure that airlines operate within the framework of the law.

Keyamo Issues One-Week Ultimatum to Airlines Over Debt Repayment Plans

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Omoda, Jaecoo Shake Global Auto Market, Hit One Million Sales in Three Years

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Omoda, Jaecoo Shake Global Auto Market, Hit One Million Sales in Three Years

 

Chinese automotive brands Omoda and Jaecoo are rapidly reshaping the global automobile industry, posting remarkable sales growth and displacing long-established competitors in key markets barely three years after their debut.

Owned by Chinese auto giant Chery, the sister brands have emerged as two of the world’s fastest-growing vehicle marques, recording more than one million cumulative sales across 64 countries by April 2026 while making significant inroads into mature markets traditionally dominated by legacy manufacturers.

Their most striking success has come in the United Kingdom, one of Europe’s most competitive and brand-conscious automotive markets. After entering the UK in 2024, the brands recorded 48,087 new vehicle registrations in 2025, accounting for 2.38 per cent of the market.

The performance placed Omoda and Jaecoo ahead of several long-established manufacturers that have spent decades building customer loyalty in the country.

Driving much of the momentum is the Jaecoo 7 SUV, which finished 2025 as the UK’s fourth most popular retail vehicle before going on to become the country’s best-selling new car in March 2026. It has also ranked as the UK’s third best-selling new car so far in 2026.

Within just 19 months of launching in Britain, the two brands had surpassed 80,000 cumulative vehicle sales, underlining their rapid acceptance among consumers.

Their success extends well beyond the UK.

In Europe, Omoda and Jaecoo sold more than 340,000 vehicles in less than two years by June 2026, earning recognition from industry observers as the continent’s fastest-growing automotive brands.

Australia has witnessed a similar trend. Barely a year after their launch in May 2025, the brands crossed the 10,000-unit sales mark, while the Jaecoo J5 emerged as the country’s best-selling small electric SUV in May 2026.

The brands have also recorded notable achievements in Asia and South America. In Thailand, the Jaecoo J5 topped the country’s electric vehicle sales rankings for six consecutive months, while in Brazil, the Jaecoo 7 Hybrid was named the country’s “Hybrid of the Year.”

Industry analysts attribute the brands’ rapid rise to a combination of striking design, advanced technology, generous standard features and competitive pricing that offers consumers strong value compared with many established rivals.

Safety credentials have also strengthened consumer confidence. Both the Jaecoo 7 and the Omoda 5 have earned five-star ratings from Euro NCAP, Europe’s independent vehicle safety assessment authority, helping to reassure buyers who may be unfamiliar with the brands.

Although many traditional manufacturers still enjoy stronger heritage and decades of brand recognition, industry observers say buying decisions are increasingly being driven by value, technology, design and safety rather than brand familiarity alone.

That shift has created opportunities for newer entrants such as Omoda and Jaecoo, whose rapid global expansion suggests that the automotive landscape is undergoing a significant transformation.

For emerging markets such as Nigeria, where Chinese automobile brands are steadily gaining acceptance, the performance of Omoda and Jaecoo offers another indication of the growing influence of Chinese manufacturers in the global automotive industry.

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