Naira Extends Rally, Gains Across Official and Parallel Markets as FX Reforms Bite

|By Babatunji Wusu

The naira on Wednesday strengthened further against the United States dollar across both the official and parallel foreign exchange markets, sustaining a rally driven by tighter monetary controls and improved external buffers.

Data from the Central Bank of Nigeria (CBN) showed that the local currency appreciated to N1,348.95 per dollar at the official market, improving from N1,351.02 recorded the previous day. This represents a day-on-day gain of N2.07, bringing the naira’s cumulative appreciation at the official window to N5.51 over the past three days.

The positive momentum also reflected in the parallel market, where the naira strengthened to N1,445 per dollar, up from N1,450 on Tuesday.

Market operators linked the gains to the CBN’s recent directive allowing licensed Bureau De Change (BDC) operators to access up to $150,000 weekly, a move aimed at boosting liquidity and narrowing arbitrage opportunities in the foreign exchange market.

The currency’s performance was further supported by an increase in Nigeria’s external reserves, which climbed to $47.38 billion as of February 9, 2026, up from $47.03 billion recorded on February 6. The rising reserves signal improved foreign exchange inflows and provide additional backing for exchange rate stability.