CBN Intervenes to Slow Naira Rally as Currency Gains ₦20 w/w
The naira closed the week stronger at the official foreign exchange market, appreciating to ₦1,363 per dollar on Friday, even as the Central Bank of Nigeria (CBN) stepped in to moderate the pace of its rally. Daily trading data from the CBN showed the local currency maintained a largely stable but firmer trajectory throughout the week, closing at ₦1,384.5 on Monday, ₦1,367 on Tuesday, ₦1,359 on Wednesday, ₦1,368 on Thursday, and ₦1,363 on Friday. During Friday’s session, the naira traded within a band of ₦1,373 to ₦1,361, recording a mean average of ₦1,366.78 per dollar.
However, successive gains prompted the apex bank to initiate a reverse intervention. TrustBanc Financial Group Limited reported that the CBN purchased $72 million from the FX market midweek to slow the pace of appreciation. Following the intervention, the naira eased by ₦7.77 to close at ₦1,366.06 per dollar before firming again at week’s end.
Analysts noted that stronger offshore investor participation, elevated yields on Nigerian securities, and rising external reserves have boosted sentiment. Nigeria’s gross reserves climbed by $736.67 million to $46.91 billion, supported by inflows from oil receipts, remittances, and portfolio investments. Anchoria Securities Limited said near-term FX stability is expected to persist, underpinned by policy measures and improving market confidence.
Nonetheless, pressures remain evident in the parallel market. The naira exchanged at ₦1,440.81 per dollar on Friday, slightly stronger than ₦1,441.11 the previous day, but the spread between official and parallel rates widened to ₦77.81.
The week’s performance reflects a clear appreciation from ₦1,391 per dollar at the end of the previous week, and more pronounced gains compared to ₦1,431 recorded in the first trading week of January 2026. Analysts caution, however, that while the naira’s trajectory is supported by reserves and inflows among others, the widening gap with the parallel market underscores persistent structural segmentation.
