The Nigerian naira has continued to strengthen against the United States dollar, with the latest official foreign exchange market data showing a further appreciation on Tuesday. According to the Central Bank of Nigeria’s official exchange rate, the naira traded at N1,463.45 against the dollar, representing a gain of N1.84 from the previous day’s rate of N1,465.29.
At the official foreign exchange market, this marks a second consecutive day of appreciation for the naira, following a significant gain on Monday. However, on the black market, the naira remained stable at N1,500 per dollar, unchanged from the previous day’s rate.
The naira’s appreciation is occurring amidst an increase in Nigeria’s external reserves, which rose to $42.79 billion as of October 20th, 2025, up from $42.69 billion recorded on October 17th, according to data from the Central Bank of Nigeria. This increase in external reserves could potentially provide further support for the naira in the foreign exchange market.
The recent strengthening of the naira against the dollar follows a period of volatility in the foreign exchange market. The country’s currency has been subject to fluctuations in recent months, driven by a range of factors, including changes in global oil prices and shifts in investor sentiment.
The appreciation of the naira is likely to be welcomed by Nigerian businesses and consumers, who have faced challenges due to the currency’s previous depreciation. A stronger naira can help to reduce the cost of imports and make Nigerian exports more competitive in the global market.
As the naira continues to strengthen, it will be important to monitor the currency’s performance in the coming days and weeks. The Central Bank of Nigeria’s management of the foreign exchange market, as well as global economic trends, are likely to play a significant role in determining the naira’s future trajectory. With the country’s external reserves on the rise, there may be scope for further appreciation of the naira, although this will depend on a range of factors, including the overall state of the economy and the foreign exchange market.
