Naira Weakens to N1,387/$ by March 2026, February Gains Lost

As of March 31, 2026, the Naira has weakened to N1,387 against the US dollar, erasing the gains made in February when it traded at N1,367 at the start of the month and strengthened to N1,340 by February 18. This decline reflects the currency's fragile position amid ongoing volatility in the foreign exchange market, influenced by both global economic uncertainties and domestic factors.

Sam Ogbarku, a portfolio manager at Kwik Securities Ltd, highlighted that the Naira's performance is sensitive to external shocks and market dynamics, which could have both positive and negative implications for the domestic economy. CBN Governor Olayemi Cardoso reported that the country's gross external reserves increased to $50.45 billion in February 2026, bolstered by stronger oil earnings and increased foreign inflows.

The CBN is pursuing monetary and foreign exchange reforms aimed at strengthening market confidence and improving liquidity, as outlined in their 2026 macroeconomic outlook.