Naira-Dollar Exchange Rate Trends

The naira depreciated against the US dollar, closing at N1,333.76 on October 19. Deutsche Bank added Nigeria to its forex monitor, noting the naira's undervaluation and potential for appreciation, contingent on foreign investment and dollar supply.

The naira closed at N1,333.50 per dollar on October 19, 2026, slightly appreciating from N1,334.20/$ on October 16. The foreign exchange market showed fluctuations amid elevated dollar demand, with trading volumes declining significantly.

Deutsche Bank forecasts further appreciation of the naira against the dollar, citing Nigeria's improving external position. The bank highlights the naira's undervaluation and high real interest rates as attractive to foreign investors, despite potential fiscal pressures ahead of