Naira Strengthens as CBN Cuts Rates and Reserves Rise

On September 23, 2026, the naira gained value in Nigeria's parallel market, with traders buying the dollar at N1,385, a N5 improvement from N1,390. This occurred despite the Central Bank of Nigeria (CBN) reducing its benchmark interest rate by 350 basis points.

The gap between the black market and official rates narrowed to N58, down from N61. In the official market, the naira improved by N2.02, closing at N1,327.78.

Nigeria's external reserves reached $54.79 billion as of September 21, 2026, marking a 30.36% increase from $42.03 billion in 2025. CBN Governor Olayemi Cardoso reported reserves at $55.25 billion as of September 18, 2026, the highest in 18 years.

Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise, indicated that the divergence between Nigeria's easing stance and tightening by global central banks could affect naira-denominated assets. The CBN had also supplied $250 million over five trading sessions to enhance dollar availability.