Naira Tests N1,497/$ as External Reserves Hit $41.571bn
The naira tested at N1,497 per dollar at the Nigerian foreign exchange market as the gross balance in the nation’s external reserves reached $41.571 billion on Monday, according to updated data from the Apex Bank.
The local currency has continued to gain and retain value against the dominant foreign currency, the US dollar, across the Nigerian forex market in post-reform recovery supported by interventions.
Some analysts predicted the local currency will close year 2025 between N1580 and N1600 per dollar in 2025, but the recent tractions suggest otherwise.
According to the Central Bank of Nigeria (CBN) FX update, the naira held steady and appreciated 5 bps to close at ₦1,506.0850/$, supported by increased dollar supply.
The local currency traded between ₦1,497.00 and ₦1,509.50 during the session, while Nigeria’s gross reserves increased to $41.57 billion as of 8 September 2025, rising $33.27 million from the previous day.
FX traders had formed a consensus that the naira is likely to hold steady amid rising external reserves amidst price fluctuation in the global commodity market.
Oil prices edged higher on Tuesday after Israel said its military struck Hamas leadership in Doha, marking an escalation of its regional campaign.
Brent crude gained 37 cents, or 0.6%, to $66.39 a barrel, while U.S. West Texas Intermediate also rose 37 cents, or 0.6%, to $62.63, AIICO Capital Limited confirmed in a commentary note.
Gold extended its record-setting run, supported by expectations of a September Fed rate cut and ahead of key U.S. inflation data. Spot gold climbed 0.2% to $3,643.57 after touching a record $3,673.95, while U.S. futures settled at $3,682.20.
Markets will closely watch the Federal Reserve’s meeting next week, where a rate cut is widely expected. Lower rates would reduce borrowing costs for consumers, potentially stimulating economic growth and boosting oil demand #Naira Tests N1,497/$ as External Reserves Hit $41.571bn Private Sector Gains Momentum, Prices Surge Softens – PMI
