The Nigerian naira has continued to strengthen against the United States dollar at the official foreign exchange market, marking its fourth consecutive gain this week. According to data from the Central Bank of Nigeria (CBN), the naira appreciated to N1,460.49 per dollar on Thursday, up from N1,463.44 on Wednesday. This translates to a gain of N2.95 against the dollar on a day-to-day basis.
The naira’s upward trend is attributed to the sustained rise in Nigeria’s external reserves, which stood at $42.87 billion as of October 22, 2025, up from $42.79 billion on October 20. The increase in external reserves is a positive development for the Nigerian economy, as it indicates a boost in the country’s foreign exchange earnings.
In contrast, the naira remained flat at N1,500 per dollar on the black market on Thursday, unchanged from the previous day. The stability of the naira on the black market suggests that the official exchange rate is having a positive impact on the currency’s value.
The appreciation of the naira against the dollar is a significant development, as it reflects the country’s improving economic fundamentals. The rise in external reserves is a result of increased foreign investment and higher oil prices, which have boosted Nigeria’s foreign exchange earnings. The CBN’s efforts to stabilize the currency and maintain a stable exchange rate have also contributed to the naira’s appreciation.
The naira’s performance is being closely watched by investors and economists, as it has a significant impact on the country’s trade balance and inflation rate. A stable exchange rate is essential for attracting foreign investment and promoting economic growth. As Nigeria’s external reserves continue to rise, it is likely that the naira will remain stable, which could have a positive impact on the country’s economic development.
The Nigerian government has implemented various policies to stabilize the currency and promote economic growth, including measures to increase foreign exchange earnings and reduce dependence on imports. The rise in external reserves and the appreciation of the naira are positive indications that these policies are having a positive impact on the economy. As the Nigerian economy continues to grow and develop, it is likely that the naira will remain a key focus for investors and economists.