Naira Set to Trade N1,000/$ as Dangote Refinery Hits Full Capacity

Billionaire investor Femi Otedola has said the Nigerian naira could strengthen to trade below N1,000 to the dollar before the end of the year.

He linked the possible recovery of the currency to the Dangote Petroleum Refinery achieving full operational capacity.

Politics Nigeria reports that Otedola made this known in a statement shared on X on Thursday.

He described the refinery’s full production status as a major boost for Nigeria’s foreign exchange outlook and a turning point for the country’s economy.

The businessman explained that the refinery can now produce up to 75 million litres of Premium Motor Spirit (PMS) daily.

This level of output, he said, will reduce Nigeria’s long-standing dependence on imported fuel, which has been one of the biggest sources of pressure on foreign exchange demand.

“With domestic refining now firmly underway after decades of reliance on imports, pressure on the foreign exchange market should ease significantly,” Otedola wrote. “I am optimistic that the naira will strengthen meaningfully, and trading below N1,000/$1 before year end is increasingly within reach.”

Nigeria, despite being one of Africa’s largest crude oil producers, has spent billions of dollars yearly importing refined petroleum products. This imbalance has contributed to persistent strain on the naira and external reserves.

Economic analysts have long argued that large-scale local refining would conserve foreign exchange and improve the country’s balance of payments position. The Dangote Refinery is now seen as a major step in that direction.

Otedola congratulated Aliko Dangote on the achievement, describing it as a historic milestone for Nigeria and the African continent. He said the refinery’s full operation signals progress toward energy independence and industrial growth.

He also revealed that Dangote has started a new $12 billion expansion project to increase the refinery’s capacity to 1.4 million barrels per day.

According to him, the expansion will go beyond fuel production and include petrochemical outputs such as 2.4 million tonnes of polypropylene and 400,000 metric tonnes of Linear Alkyl Benzene (LAB).