Stronger Naira Forces Companies to Rethink Forex Strategies

Story: written by springnewsng February 24,2026
The recent appreciation of the naira is reshaping how Nigerian companies manage foreign exchange exposure. As the local currency gains strength against major currencies, firms that once relied heavily on dollar hedging are now adjusting their strategies to reduce FX losses and improve cost planning.
Manufacturers, importers, and service providers are reassessing pricing models, renegotiating contracts, and reviewing debt structures previously tied to volatile exchange rates. The naira’s rebound has also eased pressure on operating costs, offering temporary relief to businesses hit hard by inflation and currency instability in recent years.
However, analysts caution that companies remain cautious, as FX conditions can shift quickly. Many firms are now adopting more flexible and conservative approaches to currency management to stay resilient amid ongoing economic reforms.