The naira opened the week on a positive note, appreciating to below N1,460 per US dollar on Monday, signaling renewed stability in the foreign exchange market.
Data from the Central Bank of Nigeria (CBN) showed the currency exchanged at N1,456/$1, improving from N1,466.5/$1 on Friday and N1,462.9/$1 on Thursday.
The modest gain indicates that the naira has regained some ground following last week’s gradual depreciation, maintaining a stable trajectory rather than experiencing a sudden spike.
What the data is saying
According to the CBN figures, the naira’s exchange rate moved from N1,462.9/$1 on Thursday to N1,456/$1 on Monday, showing a week-on-week improvement.
Compared to last Monday’s close of N1,454/$1, the currency’s performance indicates sustained strength rather than a temporary rebound.
Currency dealers in Abuja told Nairametrics that the naira traded at N1,481/$1 for buying and N1,489/$1 for selling, compared with the N1,500/$1 rate recorded on Friday.
Expert Insight and Context
Economists and forex analysts attribute the naira’s stability to consistent interventions by the CBN, including strategic foreign exchange supply and regulatory oversight.
“The currency’s resilience below N1,500 per dollar reflects both policy support and increased forex inflows from trade and remittances,” noted an Abuja-based financial analyst, Benjamin Njoku.
Another analyst, Ade Johnson said, “Well, it’s December. So, the volatility at this time is pretty normal.”
The broader context shows that while the naira has faced pressure from import demand and global oil price fluctuations, recent months have seen a controlled depreciation, helping to restore confidence among businesses and investors.
What this means
The naira’s steady performance suggests a cautiously optimistic outlook for Nigeria’s forex market.
For importers, exporters, and ordinary consumers, the relative stability provides predictability in transactions and planning.
If maintained, this trend could bolster market confidence, support investment, and cushion the economy against extreme volatility.
What you should know
President Bola Tinubu on Friday presented the 2026 Appropriation Bill to the National Assembly.
The president described the 2026 budget assumptions as conservative, with key projections including:
- $64.85 per barrel oil price
- 1.84 million barrels per day crude oil production
- N1,400/$ exchange rate
Nairametrics reports that President Tinubu presented the 2026 budget without releasing the 2025 performance report, raising concerns over transparency and accountability.
The naira’s latest close reinforces concerns about short-term volatility, as the market weighs fiscal signals from the 2026 budget alongside broader macroeconomic conditions and FX market dynamics.
