The Nigerian naira began the new year on a positive note, gaining strength against the United States dollar at the official foreign exchange market on Friday. According to data from the Central Bank of Nigeria, the naira appreciated to N1,430.85 per dollar, representing a gain of N4.91 from its previous close of N1,435.76 on December 31, 2025.
This uptick marks a promising start to the year, building on the naira’s nearly N100 gain against the dollar in 2025. The country’s external reserves also saw an increase, rising to $45.5 billion as of December 30, 2025. The improvement in the foreign exchange market can be attributed to the growth in the country’s reserves, which has helped to stabilize the naira.
In contrast, the black market exchange rate remained unchanged at N1,475 per dollar, the same rate as before the holidays. The official and black market exchange rates have been diverging in recent times, with the official rate being more stable. The Central Bank of Nigeria has been working to reduce the gap between the two rates and stabilize the currency.
The appreciation of the naira is a welcome development for the Nigerian economy, which has been facing challenges in recent years. A stable currency can help to boost investor confidence, increase trade, and reduce inflation. The country’s economic managers will be hoping to sustain this momentum and build on the gains of the past year.
As the year progresses, it will be important to monitor the performance of the naira and the overall state of the economy. The Central Bank of Nigeria will likely continue to play a crucial role in managing the currency and ensuring economic stability. With the country’s external reserves at a relatively healthy level, there is optimism that the naira will remain stable and possibly appreciate further against the dollar.