GBP/NGN trades near N1,834 as medical tourism, school fees drive pound demand

The British pound traded at ₦1,834 to £1 at the start of Friday's session in Nigeria's foreign exchange market. It moved between ₦1,813 and ₦1,862 per pound this month. The naira remains under pressure as demand for pounds stays high due to medical tourism to the UK and school fee payments for Nigerian children in British schools. The Central Bank of Nigeria has kept its benchmark interest rate high to curb inflation, while inflation in Nigeria remains above UK levels, adding to naira depreciation pressure. Meanwhile, the pound slipped against the US dollar as rising crude prices and Middle-East tensions boosted the dollar's safe-haven appeal, and the Bank of England signaled it will hold rates at 3.75% amid subdued UK inflation. Market watchers say month-end FX flows from authorised dealers and BDCs, plus end-of-month settlement flows from large corporations, could push the pair toward the N1,850 resistance level. For importers, parents paying school fees or anyone needing pounds, consider timing transactions ahead of month-end spikes or using forward contracts to lock in rates, and keep an eye on CBN policy signals and oil price movements for future direction.

SOURCE: https://nairametrics.com/2026/07/31/naira-hits-n1834-1-as-british-pound-slips-against-us-dollar/