Naira Declines as Foreign Payments Log Eclipses FX Supply
The naira declined against the US dollar as significant demand for foreign payments slowed the local currency momentum at the Nigerian foreign exchange market (NFEM).
According to official daily foreign exchange data released by the Central Bank on Thursday, the naira depreciated by 0.35% to ₦1,353.66 per dollar at the official window.
The drop reversed the latest gaining streaks amidst improved FX supply. The official window recorded sharply reversal in the intraday spot FX rate, ranging between a low of N1350 and 1357 per dollar.
In the parallel market, the naira appreciated 1.59% to ₦1,403/$, reflecting divergent currency dynamics between the regulated official segment and the informal foreign exchange market.
The informal market rate has been on an uptrend since the beginning of the week, following the $150,000 official rate, priced FX sales approval granted to licensed Bureau de Change in the country.
The move will further unify exchange rates between the official and informal currency market where FX spread has already tightened.
Updated data from the Central Bank revealed that foreign reserves were last reported at US$47.53 billion as at 10 February 2026, appreciating by +US$154.58 million.
Foreign exchange reserves have increased significantly since 2024, when FX reform was launched, and now cover at least 11 months of imports based on trade data.
The significant external buffer enabled the Apex Bank to ‘stay out of the market on many days’ according to CBN Governor Olayemi.
The reduction in market intervention was made possible by improved liquidity and a subsequent narrowing of the spread between the official and black-market rates.
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