CBN Adjusts Dollar Exchange Rate as Naira Suffers Fresh Losses Despite $55.2bn Foreign Reserves
- Naira weakened by ₦5.77 to ₦1,367.61 per dollar at the official market, despite rising external reserves and high oil prices
- Official forex turnover fell to $614.25 million, while completed transactions dropped from 315 to 201
- Reserves climbed to about $55.2 billion; the parallel-market dollar held at ₦1,370 as pound and euro rates diverged
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Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
The Nigerian naira has suffered another setback against the United States dollar at the official foreign exchange market, extending its recent losses despite rising external reserves and elevated global crude oil prices.
Data released by the Central Bank of Nigeria (CBN) showed that the local currency weakened to ₦1,367.61 per dollar on Monday, October 26, 2026, compared with ₦1,361.84 recorded at Friday's close.
Source: Getty Images
The latest movement represents a depreciation of ₦5.77, reflecting persistent pressure on the currency amid declining foreign exchange transactions.
Naira: CBN dollar rate changes amid fresh pressure
According to the apex bank, the dollar traded between ₦1,359 and ₦1,380 during Monday's session at the Nigerian Foreign Exchange Market (NFEM).
The trading range marked an improvement from the previous week's intraday high of ₦1,395, although the naira remained under pressure.
Market analysts linked the depreciation to increased demand for foreign currency to settle international obligations and subdued inflows from foreign portfolio investors.
Investors' adjustments to their holdings in equities and fixed-income securities also contributed to changing liquidity conditions.
Dollar transactions drop sharply at official market
Foreign exchange activity slowed considerably as transaction volumes and the number of executed deals declined.
CBN figures showed that interbank foreign exchange turnover fell to $614.25 million on Monday, compared with $1.01 billion recorded on Friday.
The number of transactions also dropped from 315 to 201, indicating reduced trading activity among authorised market participants, Market Forces Africa reports.
The decline in turnover highlights the challenges facing Nigeria's foreign exchange market despite efforts to improve dollar availability.
Nigeria's foreign reserves rise to $55.2bn
Meanwhile, Nigeria's external reserves continued their upward trajectory, reaching approximately $55.2 billion.
Elevated international crude oil prices have supported the country's foreign exchange earnings, although the improvement has yet to translate into sustained naira appreciation.
Brent crude declined to $114.40 per barrel on Monday as regional exports recovered despite continuing geopolitical tensions in the Middle East.
Pound, euro gain as parallel market holds steady
The naira had previously depreciated by ₦29.58 against the dollar over the preceding week, closing at ₦1,361.84.
Source: Getty Images
The British pound strengthened by 3.19% to ₦1,821.46, while the euro appreciated by 2.28% to ₦1,525.12.
However, the parallel market remained relatively stable, with the dollar trading at ₦1,370.
The pound declined to ₦1,800, while the euro slipped to ₦1,500.
The contrasting movements underscore the continued uncertainty surrounding the naira's recovery despite Nigeria's improving reserve position.
Naira appreciates at official and black markets
Legit.ng earlier reported that Nigeria's naira recorded gains against the United States dollar at both the official and parallel foreign exchange markets on Wednesday, October 14, 2026, with analysts projecting relative stability ahead.
At the official Nigerian Autonomous Foreign Exchange Market (NAFEM), the naira closed at N1,332.59/$1, representing a gain of 38 kobo, or 0.03%, from N1,332.97/$1 on Tuesday.
Source: Legit.ng
