The naira continued its steady recovery on Wednesday, strengthening to N1,400.47 against the US dollar at Nigeria’s official foreign exchange market.
Data from the Nigerian Foreign Exchange Market (NFEM) showed the currency gained 75 kobo, or 0.05 per cent, from the N1,401.22 recorded on January 27. It is the first time the naira has traded at the N1,400 level since May 2024.
This performance also marks the strongest showing for the local currency since the Central Bank of Nigeria (CBN) introduced the electronic foreign exchange matching system (EFEMS), designed to improve transparency and price discovery in the FX market.
The appreciation extends a rally that began earlier in the week, with the naira rising from N1,418.95 on January 26 before firming further over subsequent trading sessions.
The parallel market reflected a similar trend. On Wednesday, the naira strengthened to N1,470 per dollar, its best level since December 1, 2025. The currency had traded flat at N1,490 per dollar on January 26 and 27 before gaining momentum on January 28.
President Bola Tinubu has attributed the naira’s resilience to Nigeria’s growing foreign exchange reserves. In his New Year message, he said the reserves have helped shield the currency from external shocks and are expected to improve further in 2026.
Supporting this outlook, Nigeria’s FX reserves climbed to $46 billion on January 22 — the highest level recorded in nearly eight years — providing renewed confidence in the country’s external position.
