In a move that hints faintly at either economic recovery or collective amnesia, Nigerian banks are reintroducing international spending on naira-denominated debit cards. GTBank, First Bank, Wema, UBA, and Providus have all resumed the long-paused service, each with its own version of a “generous” spending cap — generous, that is, by the standards of a country still nursing deep FX wounds.
GTBank now allows up to $1,000 in international card use per quarter — a 4000% improvement from the bad old days of $20 monthly limits, though still far from extravagant. First Bank offers a $500 monthly ceiling, allowing 10 ATM withdrawals and 20 transactions each on POS and online platforms. At ₦5,000 per ATM withdrawal, it’s a reminder that even financial optimism in Nigeria isn’t free.
Meanwhile, Wema, Providus, and UBA have quietly rejoined the ranks, each unveiling restrictions carefully crafted for a customer base that has, by now, learned the value of low expectations.
A Brief Return to the Global Checkout Line
This isn’t Nigeria’s first tango with currency volatility. In 2022, banks severely curtailed naira card usage abroad, forcing many Nigerians to say a tearful goodbye to Netflix subscriptions, Shopify purchases, and Apple Store indulgences. The FX crisis was brutal, driven by a widening gap between official and parallel market rates and a dwindling supply of dollars from oil exports.
But 2025 has brought signs — or at least symbols — of improvement. Thanks to sweeping Central Bank reforms and a reluctant, market-forced devaluation, the official exchange rate now hovers at ₦1,528.56/$, a staggering drop from ₦430/$ just three years ago. Whether this reflects true liquidity or mere arithmetic gymnastics remains unclear.
Still, someone in the system clearly thinks Nigeria is ready to re-engage with the global economy. Either that, or the illusion of normalcy is now a formal economic strategy.
A Pegged Naira Budget
At the heart of this cautious reopening lies the 2025 national budget. For the year, the naira is officially pegged at ₦1,400/$1, a 75% markdown from last year’s ₦800 estimate. Budget Minister Atiku Bagudu called it “conservative.”
The budget also projects GDP growth of 6.4%. Whether that number was divined through hard modelling or soft hope is, at best, ambiguous.
What’s not ambiguous, however, is the toll the devaluation has taken. MTN Nigeria lost nearly half its revenue in Q3 2024. Cross-border payments firm dLocal saw an 80% plunge in Nigeria earnings — even as its Egypt operations grew 318%. Microsoft exited its $70 million Lagos engineering hub. Shoprite, Unilever, Sanofi, Pick n Pay, and Procter & Gamble have all dialled down or packed up entirely.
Put plainly: the corporate loyalty Nigeria once enjoyed is no longer guaranteed.
So what’s changed?
The restoration of naira card access is a welcome reprieve for online shoppers, software developers, and startup founders. It unlocks access to foreign tools, platforms, and services long out of reach — from cloud hosting to ad platforms. But it’s also a test: now that Nigerian consumers can once again swipe their cards abroad, will they remain loyal to local apps and startups?
Foreign competitors — think Amazon, Netflix, or Canva — are suddenly back in contention for Nigerian wallets. And unlike local platforms that had to grapple with broken FX rails, these companies didn’t skip a beat during the dollar drought. The convenience gap has widened.
In the coming months, Nigerian companies — from fintechs to fashion brands — will face a tough question: can they compete on quality and value, now that customers once again have choices?