This Week in Finance: Major Financial Updates in Nigeria

Since the removal of the petrol subsidy and the overhaul of the foreign exchange market, the Nigerian government has seen an unprecedented revenue boom. Data from the Ministry of Finance reveals that a massive N47.25 trillion flowed into the federation account across the federal, state, and local governments between 2023 and 2025. 

For state governments alone, allocations more than doubled to hit N8.93 trillion last year. But with the cost of living still squeezing households, citizens and analysts are heavily scrutinizing the numbers. 

The pressure is mounting on governors to prove this fiscal windfall is actually translating into tangible infrastructure, better healthcare, and real economic relief, rather than just sitting on balance sheets.

Stronger, recapitalized banks do not automatically mean a stronger economy if the money is not moving to the right places. The National Institute of Credit Administration (NICA) is urgently calling on the Federal Government to inject N2 trillion into the Nigerian Credit Guarantee Company (NCGC). 

Why? Because with commercial lending rates sitting at a steep 32% to 35%, vital sectors like manufacturing, agriculture, and MSMEs are effectively priced out of formal credit. 

This gap is pushing millions toward informal and predatory digital lenders. A N2 trillion guarantee would help de-risk lending, bridge the gap between cash-heavy banks and struggling businesses, and get actual funds flowing into the real economy.

The naira opened the new week looking relatively stable. In the official Nigerian Foreign Exchange Market (NFEM), the currency closed at N1,346.90 to the dollar on Friday, marking a slight day-to-day gain. Over in the parallel market, the rate hovered around N1,405 per dollar, leaving a relatively tight gap of about N58.10 between the two windows. 

This stability is largely being anchored by improved foreign exchange liquidity and a notable bump in Nigeria’s external reserves, which currently sit at $52.66 billion.

MTN Group just scored regulatory approval from the FCCPC for its $2.2 billion deal to acquire the remaining 75% stake in IHS Towers. But there is a major regulatory catch: the telecom giant has been ordered to sell a 30% stake in IHS Nigeria to local investors. 

Because IHS infrastructure is shared across competing mobile networks, this mandate prevents MTN from having complete monopoly control over critical local tower infrastructure. In another massive signal of intent, MTN is betting heavily on Nigeria putting roughly 2.8 times more network capital (R7.34 billion) into the Nigerian market than its home market of South Africa in the first half of 2026.