The naira experienced fluctuations in the first week of 2026, posting a modest rebound from its year-end position, although sustained demand for the US dollar continues to weigh on the local currency.
At the Nigerian Foreign Exchange Market (NFEM), the official trading window of the Central Bank of Nigeria (CBN), the naira is exchanging at an average rate of ₦1,441.85 to the dollar.
The currency witnessed volatile movements during early trading hours, briefly appreciating to ₦1,437.10 before settling around its current level.
Meanwhile, the parallel market remains priced above the official rate.
Independent Bureau De Change (BDC) operators and street traders in key commercial centres such as Lagos, Abuja, and Kano are selling the dollar within the range of ₦1,455 to ₦1,465, depending on transaction size and location.
Market participants are closely monitoring the CBN’s foreign exchange reserves and watching for possible market interventions aimed at boosting liquidity.
Additionally, post-festive season demand from manufacturers and importers restocking for the first quarter of 2026 has increased pressure on the dollar, contributing to the naira’s ongoing challenges.