Airtel Africa expects fresh blow to financial performance amid Nigeria’s forex market reforms

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Airtel Africa expects fresh blow to financial performance amid Nigeria’s forex market reforms
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Airtel Africa, the continent’s unit of New Delhi’s telecommunications titan Bharti Airtel, is the biggest company in Nigeria by market value, currently worth N4.8 trillion ($7 billion).

Airtel Africa has expressed fears that the ongoing reform of the Nigerian foreign exchange regime could impact its financials.

In addition to the phasing out of the costly fuel subsidy regime, President Bola Tinubu has shown commitments to a policy reset in the nation’s forex market by closing the spread between the official and the parallel market rates. In London, the company’s share price had dropped 2.4 per cent by 14:30 West Africa Time, following the news.

Airtel assured, in the document seen by PREMIUM TIMES, that “USD component of operating costs within the Nigerian business is minimal,” with no effect expected on EBITDA margin.

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