According to reports, the Nigerian naira may lose value to 1,993 naira per dollar within days.
Fitch Solutions subsidiary BMI made this prediction in a report titled “Weak Naira and Structural Challenges Slow Growth of Nigeria’s Medical Device Market”.
The report said the expected devaluation is based on Nigeria’s 95% reliance on drug imports.
According to the report, this development will weaken both the healthcare system and the purchasing power of patients.
“We expect the naira to appreciate from 306 naira per dollar in 2018 to end at 1,993 naira per dollar in 2028.
“With the weakening of the naira, the cost of importing medical equipment will continue to rise, undermining both the health system and patients’ purchasing power, especially investment in critical medical technologies given the underfunding of the public health sector,” the report said.
Earlier on Monday, the naira depreciated to 1,681.42 naira and 1,735 naira in the official and parallel foreign exchange markets, respectively.
So far, FMDQ’s foreign exchange turnover has dropped significantly from $1.4 billion on Friday to $471.5 million on Monday.
Last Thursday, Central Bank of Nigeria Governor Olayemi Cardoso said the country’s foreign exchange reserves had increased to $40 billion.
Despite interventions by the Central Bank of Nigeria and the increase in foreign exchange reserves in recent months, the naira continues to fluctuate in the foreign exchange market.