The Nigerian Naira has recorded a further decline in value against the United States Dollar at the foreign exchange market. According to data from the Central Bank of Nigeria, the Naira dropped to N1,463.23 against the dollar on Tuesday, representing a decrease from N1,457.51 on Monday. This translates to a weakening of the Naira by N5.72 on a day-to-day basis.
Similarly, at the black market, the Naira also experienced a decline, dropping by N2 to N1,505 per dollar on Tuesday, down from the N1,503 traded on Monday. The depreciation of the Naira over the past two days coincides with a recent drop in global crude oil prices. On Tuesday, Brent crude oil prices fell to $62.39 per barrel, while the United States West Texas Intermediate crude stood at $58.70 per barrel.
Nigeria’s external reserves, however, have continued to rise. As of October 13, 2025, the country’s external reserves stood at $42.63 billion. This development is noteworthy, given the significance of foreign exchange reserves in stabilizing the Naira.
The Naira’s depreciation against the US dollar is a trend that has been observed in recent times. On Monday, the Naira also depreciated against the dollar, indicating a consistent decline in value. The decline in crude oil prices is likely a contributing factor to the Naira’s depreciation, as crude oil exports are a significant source of foreign exchange earnings for Nigeria.
The drop in crude oil prices and its impact on the Naira’s value underscores the importance of diversifying Nigeria’s economy to reduce its dependence on crude oil exports. As the global economy continues to evolve, it is essential for Nigeria to explore alternative sources of foreign exchange earnings to stabilize its currency and promote economic growth.
In the foreign exchange market, the Naira’s value is closely watched, as it has implications for trade and investment in Nigeria. The decline in the Naira’s value could lead to increased costs for imports, which may have a ripple effect on the economy. Therefore, it is crucial for policymakers to monitor the situation closely and implement measures to stabilize the Naira and promote economic growth.