The Nigerian naira has strengthened to a record high of about ₦1,400 against the US dollar at the official market, extending its appreciation streak during midweek trading on the Nigerian Foreign Exchange Market (NFEM).
Data from the Central Bank of Nigeria (CBN) showed that the naira appreciated by 1.26 per cent on Tuesday, with the dollar quoted at ₦1,401.22. This represents a gain of ₦17.73 from ₦1,418.95 recorded on Monday at the NFEM.
The local currency had already posted strong gains in the previous session, closing at ₦1,401.2 per dollar—its strongest level since the introduction of the Electronic Foreign Exchange Matching System (EFEMS).
Market data indicate that the naira has recorded consistent daily appreciation in recent sessions, rising by between 0.1 per cent and 0.36 per cent on several trading days.
At the parallel market, also known as the Lagos Bureau De Change (BDC) segment, exchange rates ranged between ₦1,475 and ₦1,490 per dollar as of January 27. Average buy and sell rates stood at ₦1,480/$ and ₦1,490/$ respectively, reflecting a narrowing spread and improved market stability.
The improvement in parallel market rates follows additional regulatory reforms by the CBN and a noticeable increase in foreign exchange liquidity across the market.
The naira has sustained its upward momentum into early 2026, building on gains recorded in 2025, when it posted a decade-high performance of between 7 per cent and 9 per cent against the US dollar.
Analysts broadly expect the currency to trade within a relatively stable range in the medium term. Several projections place the naira between ₦1,400 and ₦1,500 per dollar this year, supported by improved FX inflows and ongoing macroeconomic reforms.
The Nigerian Economic Summit Group (NESG) projects that the naira will trade around ₦1,480 to the dollar in 2026. Driven by the consolidation of recent reforms and sustained stabilisation efforts, the group also expects Nigeria’s external reserves to rise steadily to about $52 billion over the same period.
About the Author
