Nigeria’s currency came under renewed pressure at the close of the trading week, posting notable losses against the United States dollar across both the official and parallel foreign exchange markets.
Latest data from the Central Bank of Nigeria showed that the naira weakened to N1,363.39 per dollar at the official market on Friday, compared with N1,359.81 recorded on Thursday. The movement reflects a day-on-day depreciation of N3.57.
On a week-on-week basis, the decline was more pronounced, with the local currency shedding N17.07 at the official window. Market observations indicate that the naira faced sustained downward pressure throughout the week under review, reflecting continued volatility in the foreign exchange environment.
The bearish trend extended to the parallel market, where the currency depreciated by N58 week-on-week. The naira closed at N1,375 per dollar on Friday, compared with N1,317 recorded the previous week, underscoring widening pressures across market segments.
The latest downturn followed confirmation by Bola Ahmed Tinubu that the apex bank had mopped up dollars from the market — a move typically aimed at stabilising liquidity conditions but which can also tighten supply in the short term.
Despite the currency’s weakening, Nigeria’s external reserves recorded an uptick. Official figures show that the country’s reserves rose to $49.51 billion as of February 25, 2026, suggesting improved inflows or valuation gains even as exchange rate pressures persist.
Analysts say the divergence between rising reserves and a depreciating currency highlights the complexity of Nigeria’s foreign exchange dynamics, with liquidity management, market confidence and policy signals continuing to shape short-term movements in the naira.