Bajaj Auto, Bharti Airtel shares fall after Nigeria devalues naira

Bajaj Auto Ltd fell as much as 2.7% on Wednesday, while Bharti Airtel Ltd dropped 2.9% after Nigeria’s central bank devalued its currency naira by 8% and raised interest rates sharply on Tuesday.

Nearly 12 percent of Bajaj Auto’s revenues come from Nigeria.

Bharti Airtel entered Africa in 2010 by

acquiring loss-making telecoms operations for $9 billion, funded by debt.

Nigeria is Bharti Airtel’s biggest market in Africa.

UBS downgrades Bajaj Auto to “sell” from “neutral”, saying falling emerging market currencies would impact margins.

Reuters

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