Naira Rises as Additional FX Inflow Boosts External Reserves
The naira rose against the dollar at the official window on Tuesday as the Central Bank of Nigeria (CBN) recorded additional inflows into the nation’s external reserve.
The market expects the naira to trade in line with the demand and supply level amidst robust external reserves to drive the monetary authority’s FX intervention sales.
The Apex Bank FX data showed that the Naira appreciated by 52 basis points, or ₦7.53 to close at ₦1,446.3156 per dollar, having traded within a range of ₦1,455.00/$ and ₦1,441.00/$ during the session.
The positive exchange rate movement was driven by improved inflows from Foreign Portfolio Investors (FPIs), AIICO Capital Limited said in a commentary note. FX inflows into the official market has been on the decline, and this forced the CBN to action last week.
In total, the Apex Bank defended the naira against free falling at the official window with $400 million sold to authorised dealers and banks last week. Still, the official rate worsens, suggesting deeper FX liquidity concerns amidst rising external reserves.
Nigeria’s gross external reserves rose by $197.4 million to close at $44.5 billion as of November 24, 2025 amidst crude oil price and production volume fluctuations.
Global oil prices dipped on Tuesday after Ukraine hinted that an intense diplomatic push by the U.S. administration to end Russia’s war against it could be yielding fruit.
Brent crude shed 32 cents, or 0.20%, to $62.52 per barrel, while U.S. West Texas Intermediate (WTI) declined by 86 cents, or 1.46%, to $58.84.
Gold prices traded mixed as softer-than-expected U.S. retail sales data reinforced traders’ expectations that the Federal Reserve will trim interest rates in December. Spot gold shed 0.07% to $4,136.81/oz, while U.S. gold futures spiked by 0.87% to $4,166.55/oz.
Analysts expect the metals market to remain supported on growing bets of a Federal Reserve rate cut, while oil prices may see downward pressure as concerns about a 2026 supply surplus counterbalance geopolitical risk over the Russia–Ukraine war. Guinness Nigeria: Analysts See Upside Potential, Differ on TP
