Nigerian Naira Appreciates Against US Dollar for 7 Consecutive Days, Secures New Exchange Rate

The Nigerian Naira has experienced a significant appreciation against the US Dollar for seven consecutive days, with the official exchange rate strengthening to 1,417.95 per dollar on January 16, 2026, compared to 1,421.46 at the beginning of the week on January 12. This represents a gain of 3.51 in five trading sessions.

The improved performance is driven by increased dollar supply, which has kept trading within a narrow range. The Central Bank of Nigeria (CBN) has not visibly intervened in the financial market, indicating a more stable market.

Analysts like Chukwuekem Alozi note that the sustainability of the Naira's recovery will depend on continuous foreign currency inflows. The Bureau de Change (BDC) operators have also reported a similar appreciation of the Naira against the US Dollar in the black market.

The market has seen several changes, including the introduction of the Foreign Exchange Code (FX Code) and the Electronic Foreign Exchange Match System (EFEM) to enhance transparency and reduce arbitrage.