Nigerian Breweries Plc says it is intensifying efforts to reduce its exposure to foreign exchange risks by prioritizing local currency financing and restructuring its balance sheet following the naira volatility that rattled corporate earnings over the past two years.
The brewing company said the foreign exchange shocks experienced in 2023 and 2024 exposed major vulnerabilities in corporate balance sheets, prompting a strategic shift in its treasury and funding operations.
According to the company, it has significantly recalibrated its approach to foreign currency exposure, with a stronger preference for naira-denominated funding aimed at minimising the impact of exchange rate fluctuations on its operations and profitability.
Nigerian Breweries noted that the restructuring programme has led to a substantial reduction in its foreign currency obligations, helping to stabilise its financial position amid continued macroeconomic uncertainties.
The company added that the move forms part of broader cost-management and risk-mitigation measures designed to strengthen operational resilience and improve long-term financial sustainability.
Industry analysts say the strategy reflects a growing trend among major Nigerian corporates seeking to shield their balance sheets from exchange rate volatility and rising debt servicing costs linked to foreign-denominated liabilities.
