Naira Appreciates After Nigeria Is Removed From Financial Crime Watchlist
- The naira's value appreciated after Nigeria was delisted from the Financial Action Task Force (FATF) grey list
- The FATF’s decision will renew global confidence in Nigeria’s anti–money laundering and counter-terrorism financing reforms
- Experts say the move could attract more foreign direct investment and reestablish stronger engagement with Western economies
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The value of the naira has appreciated in the official and unofficial foreign exchange markets following reports that Nigeria was removed from the Financial Action Task Force (FATF) grey list.
FATF is an intergovernmental organisation established to develop and promote policies that protect the global financial system against money laundering, terrorist financing, and the financing of weapons of mass destruction.
Source: Getty Images
Nigeria's removal from the FATF grey list means it has successfully addressed the weaknesses in its systems for preventing money laundering, terrorist financing, and proliferation financing that the FATF previously identified.
Nigeria was added to the FATF grey list in February 2023 due to weaknesses in its financial oversight and enforcement mechanisms.
The Central Bank of Nigeria (CBN), Nigerian Financial Intelligence Unit (NFIU), and Economic and Financial Crimes Commission (EFCC) were among the agencies credited for spearheading reforms that led to compliance.
Naira appreciates
Bismarck Rewane, CEO of Financial Derivatives Company, said the delisting had an immediate impact on the foreign exchange market.
He said.
“It means a whole lot. Naira and Rand have gained almost one percent since the news. It is now N1,490 in the parallel market."
Also speaking, Tayo Oviosu, CEO of fintech firm Paga, said:
“This is a big deal because it opens up the country for FDI and engagement from the West, especially."
Similarly, Tayo Aduloju, CEO of the Nigerian Economic Summit Group (NESG), commended the coordinated efforts that led to the milestone, BusinessDay reports.
He said.
“Well, first it’s a well done to CBN, NFIU and EFCC for doing the hard work to get us back into compliance."
Source: UGC
Expectations for naira
Analysts say the FATF decision could improve Nigeria’s global financial reputation, ease cross-border transactions, and attract new investments at a time when the government is seeking to stabilise the naira and rebuild investor confidence.
Naira is also expected to appreciate further as foreign exchange reserves continue to rise, giving CBN more firepower to defend Nigerian currency against pressure.
Customs exchange rate to clear goods changes
Earlier, Legit.ng reported that the cost of clearing goods at Nigerian ports has risen again as the Central Bank of Nigeria (CBN) adjusted the customs duty rate upward.
This follows renewed pressure on the naira in the foreign exchange market.
According to data obtained from Nigeria’s trade portal, the customs exchange rate for import duties was increased to N1,470.53 per U.S. dollar on Sunday, October 19, 2025, up by 1.09% from N1,454.67/$ a week ago, signalling higher import costs for businesses and consumers.
Source: Legit.ng
