Figures cited by The Nation show the Nigerian Naira holding steady at ₦1,359.58 per dollar at the official window as the country’s foreign reserves reached their highest level in over a decade. The stability is attributed to the Central Bank’s “willing-buyer-willing-seller” model and a significant influx of foreign portfolio investment.
The narrow 1% gap between the official and parallel market rates suggests that the central bank’s transparency reforms are effectively curbing currency speculation. This convergence is providing a much-needed breath of fresh air for importers and manufacturers who have struggled with FX volatility for years.
The surge in reserves is reportedly driven by improved oil production and the successful implementation of non-oil export incentives. Market participants are now looking toward the next Monetary Policy Committee (MPC) meeting to see if the CBN will further ease interest rates in response to the stabilizing currency.
BusinessDay and Leadership have echoed these optimistic findings. BusinessDay reported that “the FX liquidity crunch is effectively over,” while Leadership quoted a BDC operator saying, “demand is being met through official channels, leaving the black market with very little room to manipulate rates.”
Echotitbits take: Sustained FX stability is the “holy grail” for Nigeria’s 2026 growth targets. If the Naira stays within this range, we could see a significant drop in the cost of imported machinery and raw materials by Q3.
Source: BusinessDay – https://businessday.ng/markets/article/naira-loses-0-5-despite-13-year-high-external-reserves-of-50-45bn/, March 2nd, 2026
Photo credit: BusinessDay
