The Naira ended the week on a stronger note, closing at N1,480/$1 at the official market on Friday.
According to figures published on the Central Bank of Nigeria (CBN) website on Friday, this represents an appreciation from Thursday’s rate of N1,485/$1.
Checks by Nairametrics on the CBN website showed that this marks the currency’s best performance since January 31, 2025, when it closed at N1,475/$1.
Data on the CBN website shows that the Naira opened the week at N1,491.49/$1 on Monday before slipping slightly to N1,493.2/$1 on Tuesday, a movement that coincided with the conclusion of the 302nd Monetary Policy Committee (MPC) meeting.
The currency then strengthened midweek, appreciating to N1,486.8/$1 on Wednesday, and continued its upward momentum to close at N1,485/$1 on Thursday.
In the parallel market, the Naira also showed resilience. Market sources indicate that the currency closed at N1,506.5/$1 on Friday, up from N1,511/$1 on Thursday, and significantly stronger compared to last week’s closing of N1,520/$1.
Week-on-Week performance
Data from the CBN shows that at the official market last week, the Naira opened at N1,495/$1 on Monday, appreciated slightly to N1,485.05/$1 on Tuesday, but slipped to N1,498/$1 on Wednesday before recovering to N1,490/$1 on Thursday and closing at N1,488/$1 on Friday.
In contrast, this week’s trajectory remained more consistent, ending stronger at N1,480/$1, confirming a clear upward trend.
Similarly, at the parallel market last week, the Naira closed at N1,520/$1 on Friday, down from N1,530.5/$1 on Thursday and N1,537/$1 on Wednesday. This week’s close at N1,506.5/$1 highlights further appreciation and the best showing for the local currency in months.
Foreign exchange reserves hit $42.2 billion
Nigeria’s foreign exchange reserves closed the week at $42.2 billion, according to data on CBN website. This represents an increase from last week’s $41.9 billion.
The CBN Governor Olayemi Cardoso speaking after the MPC meeting on Tuesday attributed this to growing confidence driven by reforms, increased transparency, and the adoption of a more market-oriented exchange rate regime.
He highlighted the CBN’s overarching monetary policy objective of taming inflation and driving it down to single digits a goal that remains non-negotiable despite mounting political pressures as the country approaches the 2026 pre-election period.
“Exchange rate stability is key. If we are going to continue to moderate inflation the way we have, exchange rate stability is key. Fiscal discipline is key,” Cardoso said.
The governor reassured investors and the public that the CBN remains focused on preserving the hard-won macroeconomic stability achieved in recent months and signaled a continuation of vigilant, data-driven policy enforcement.
What you should know
During the week, CBN reduced the MPR by 50 basis points, lowering it from 27.5 percent to 27 percent.
Alongside the MPR cut, the MPC narrowed the asymmetric corridor around the benchmark rate to +250 and -250 basis points, from the previous +500/-100 basis points.
The Committee retained CRR for commercial banks at 45 percent, while that of merchant banks was set at 16 percent.
