The Central Bank of Nigeria (CBN) injected $4.1 billion into the foreign exchange (FX) market during the first half of 2025, tripling last year’s figure of $1.3 billion, in a bid to stabilise the naira and ease liquidity pressures.
The figure, disclosed in CSL Stockbrokers’ H2 2025 Outlook Report, represents a 215% increase year-on-year. Analysts, however, warn that the sustainability of this intervention remains uncertain amid weak oil revenues, limited foreign portfolio inflows, and external financing risks.
Nigeria’s gross external reserves fell by $3.67 billion in the same period—from $40.88bn in January to $37.21bn by June—reflecting the cost of these interventions. In contrast, the first half of 2024 saw reserves rise by $1.17bn.
Despite this drawdown, the naira showed relative stability. Opening the year at ₦1,535/$, it appreciated slightly to ₦1,530/$ by the end of June, buoyed by the injections. At one point in April, the exchange rate hit ₦1,630/$ amid global trade tensions, prompting the CBN to step up dollar supply.
CSL cautioned that without a significant boost in FX inflows from oil exports, remittances, or foreign investment, maintaining this level of intervention may become challenging. Oil export earnings are projected to fall by 20% year-on-year to $36.4bn in 2025.
Economists argue that Nigeria’s managed float system still requires active CBN support to prevent volatility. “In the absence of intervention, we would have seen much sharper naira depreciation,” said Adewale Abimbola, a Lagos-based economist.
Analysts forecast that the naira could trade within ₦1,500–₦1,600/$ in H2 2025, provided CBN sustains its defence and FX inflows improve.
CSL also projects a possible interest rate cut of 100–150 basis points in Q4, as inflation moderates to 22.9% from 31.4% in 2024, though such a move could dampen investor appetite for naira assets.
Nigeria’s real GDP growth has been revised to 3.7% for 2025, with fiscal deficit expected to widen to 5.8% of GDP, compared to the official forecast of 3.9%, due to revenue shortfalls.
Meanwhile, the naira extended gains on Monday, closing at ₦1,518/$, its strongest level since March 2025, supported by CBN sales and improved FX liquidity.
![Five Key Takeaways from Trump-Starmer Meeting in the UK Aylesbury, UK – September 18, 2025 — U.S. President Donald Trump and UK Prime Minister Keir Starmer presented a united front on major global issues during a joint press conference at Chequers, wrapping up Trump’s three-day visit to the United Kingdom. Despite recent tensions between Washington and European allies, the meeting underscored strong transatlantic ties as the two leaders discussed Ukraine, NATO, Gaza, Afghanistan, and more. 1. Trump Says Putin ‘Let Him Down’ Over Ukraine President Trump expressed frustration with Russian President Vladimir Putin over the prolonged war in Ukraine, admitting he underestimated the challenge of resolving the conflict. “I thought it would be easiest because of my relationship with President Putin, but he’s let me down,” Trump said. PM Starmer reiterated the UK’s commitment to supporting Ukraine, vowing to increase pressure on Russia and push for a lasting peace deal. 2. Divergence on Gaza, But Unity Against Hamas While both leaders condemned Hamas’s October 7, 2023 attack on Israel, they differed on the broader approach to the Gaza conflict. Trump avoided criticizing Israel’s ongoing military campaign, which has killed over 65,000 Palestinians, calling October 7 “one of the worst days in the history of humanity.” Starmer's previous pledge to recognize a Palestinian state was noted as a “point of disagreement,” but Trump praised the UK leader’s strong stance against Hamas. 3. Trump Praises NATO and Increased Defense Spending Once a vocal NATO critic, Trump struck a different tone, applauding the alliance’s commitment to boost defense spending. “I want to thank NATO and our wonderful head of NATO, Mark [Rutte]… They’ve done a great job,” he said, highlighting a new pledge for members to spend 5% of GDP on defense. Trump emphasized U.S. support in supplying weapons to NATO allies, stressing that the alliance was now “paying its fair share.” 4. Bagram Airbase Back in Focus Trump hinted at possible negotiations with the Taliban for the U.S. to regain access to the Bagram airbase in Afghanistan, which was vacated in 2021 during the Biden administration’s withdrawal. “We’re trying to get it back,” Trump said, citing its strategic location near China’s nuclear facilities. The Taliban, however, quickly dismissed the proposal, stating they welcome engagement with the U.S. but will not allow any foreign military presence. 5. Trump Weighs in on Kimmel Firing Trump also addressed the firing of late-night host Jimmy Kimmel by ABC, following political controversy over remarks involving conservative commentator Charlie Kirk. “Jimmy Kimmel was fired because he had bad ratings… He’s not a talented person,” Trump said, dismissing concerns about free speech and framing the firing as a business decision. Conclusion: The Trump-Starmer meeting reflected a broad effort to reinforce U.S.-UK ties amid ongoing global crises. While areas of disagreement remain, particularly on Middle East policy, both leaders signaled alignment on Ukraine, NATO, and global security cooperation.](https://trendbrio.com/wp-content/uploads/2025/09/USA-TRUMP-BRITAIN-AND-KEIR-STARMER.webp)
