The Nigerian Naira began the new trading week on a slightly stronger note against the US Dollar on Monday, February 23, 2026. Figures from the Nigerian Foreign Exchange Market (NFEM) and activity within the informal market point to sustained relative stability, supported by ongoing strategic interventions from the Central Bank.
Official Market Performance (NFEM)
At the official window, the Naira opened trading at 1,339.18 per dollar, marking a modest improvement from the previous session’s closing rate of 1,343.36 on Sunday. During early trading hours on Monday, the exchange rate moved within a narrow band, reaching a peak of 1,342.98 before easing lower.
This performance follows a phase of active price discovery, with the (CBN) referencing its updated macroeconomic outlook as a key influence on the currency’s direction. The official monthly average rate stands around 1,346.32, indicating that current early trades are slightly firmer than the recent mean.
Parallel Market Trends
The parallel market continues to maintain a small premium above the official rate, with the gap between both windows remaining historically tight. As of Monday morning, informal market dealers quoted the dollar between 1,355 and 1,362 per dollar.
This relative convergence is attributed to improved liquidity levels and reduced speculative pressure compared to previous quarters. While the black market still serves retail users seeking quick transactions, the stability in the NFEM has lowered demand for significantly higher informal rates.
Market Drivers and Outlook
Several domestic and global factors are shaping the dollar-to-naira movement today:
Liquidity Support: The CBN’s steady supply of foreign exchange to Bureau De Change (BDC) operators and authorised dealers has helped absorb excess retail demand, preventing sharp depreciation pressures.
Interest Rate Policy: With the Monetary Policy Rate (MPR) at 27.00%, the elevated interest rate environment continues to attract carry-trade flows, lending support to the Naira.
Inflation Trends: Nigeria’s inflation rate, recently reported at 15.10% for January 2026, shows a slowdown compared to peak levels recorded in 2024 and 2025, creating a more stable backdrop for the local currency.
Analysts expect the Naira to remain within the 1,335 to 1,350 range in the official market for the rest of the week, assuming global oil prices remain stable and domestic production benchmarks are sustained.