Naira Extends Losses, Official Rate Weakens to N1,387
Naira fell against the US dollar for the 11th consecutive trading session on Wednesday, reflecting a lack of adequate foreign currency liquidity to meet international payments.
The local currency was quoted at N1387 per dollar today, down 20 basis points from the previous day, according to daily fx data published by the Central Bank of Nigeria.
There was a sign that pressure eased, suggesting probable FX intervention as the intraday rate strengthened relative to the previous day.
The intraday spot rates hovered between N1382 and N1400, with a closing rate of N1,382.6500, compared with N1,390 per greenback on Tuesday.
In the parallel market, the naira closed at N1385 per dollar, reflecting heightened currency pressures in both the regulated official segment and the informal foreign exchange market.
Foreign exchange dynamics continued to shape macro-financial conditions. The ongoing foreign exchange reforms implemented in 2023 continued to influence macro-financial outcomes, improving price discovery and transparency and supporting relative stability in the FX market.
While FX liquidity improved modestly, demand pressures remained, reflecting import dependence and fiscal financing needs. Nigeria’s gross external reserves climbed to $49.693 billion from $49.604 billion, based on the latest data released by the Apex Bank.
In the global commodity market, oil prices were steady despite volatile trading on Wednesday as further US, Israeli strikes against Iran escalated the conflict and paralysed shipping through the Strait of Hormuz for a fifth day, impacting vital Middle East oil and gas production.
Brent crude was down 24 cents, or 0.3%, to $81.13 per barrel around 4 pm GMT. On Tuesday, Brent closed at its highest since January 2025. West Texas Intermediate crude was down 27 cents, or 0.4%, to $74.30, a day after settling at its highest since June.
The Brent benchmark had gained more than $3 to touch $84.48 in morning trading, within sight of multi-year highs, but traded down after the New York Times reported operatives from Iran’s Ministry of Intelligence signalled openness to the US Central Intelligence Agency to talks on ending the war, citing officials briefed on the matter. Diesel Passes €2/ltr in Germany over U.S.-Iran War
