Naira Slips at Official Window, Closes at ₦1,366/$ Despite Strong Reserves
The naira weakened against the US dollar at the official foreign exchange market on Thursday, depreciating by ₦7.77 to settle at ₦1,366.05/$ compared with ₦1,358.28/$ previously reported by the Central Bank of Nigeria (CBN).
The movement reflects renewed pressure from international payment demands that outpaced dollar supply, slightly reversing the recent recovery trend.
CBN data showed that foreign exchange traded within a band of ₦1,361.80/$ to ₦1,380.00/$ during the session, with no direct intervention recorded. Analysts say the modest depreciation underscores the delicate balance between demand and supply dynamics in the FX market.
Despite the slip, Nigeria’s external reserves continue to provide a cushion for the naira. Reserves stood at $46.80 billion as of February 4, 2026, marking a daily increase of $106.24 million. The reserves have maintained an upward trajectory since the start of the year, buoyed by hydrocarbon sales, diaspora remittances, and offshore portfolio inflows.
Broadstreet Research noted that the naira is likely to trade in line with prevailing market fundamentals, supported by the improving reserves position.
Anchoria Securities added that stronger oil receipts, increased foreign portfolio investor participation, and consistent CBN management of FX flows should help stabilise the currency in the near term.
The latest depreciation highlights the ongoing volatility in Nigeria’s FX market, but analysts maintain that the strengthening reserves and disciplined monetary stance provide cautious optimism for stability as 2026 unfolds.
