Naira Falls: US Dollar Exchange Rate Kicks Off December Strong
- The naira has weakened at both the official and black markets on Monday, falling to N1,448.44/$1 at the Nigerian Foreign Exchange Market
- Despite Nigeria’s rising foreign reserves, which Central Bank of Nigeria Governor Yemi Cardoso has attributed to recent reforms, the currency continued to face pressure
- The CBN’s updated official rates also showed the naira’s performance against other major currencies, including the pound, the euro, and others
Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The Nigerian currency, the naira, has kicked off the new month of December on a low as it depreciated against the US dollar at both the official and parallel foreign exchange markets on Monday, December 1.
The Central Bank of Nigeria (CBN) data showed that the naira weakened to N1,448.44/$1 on Monday, down from N1,446.74/$1 recorded on Friday last week.
Source: Getty Images
This means the naira fell by N1.70 against the dollar when compared to Friday’s rate.
- CFA: N2.55
- Yuan/Renminbi: N204.82
- Danish Krone: N224.46
- Euro: N1,687.28
- Yen: N9.36
- Riyal: N385.95
- South African Rand: N84.85
- Swiss Franc: N1,809.41
- Pound Sterling: N1,922.51
- US Dollar: N1,448.44
Black market exchange rate
Similarly, in the black market, the naira declined by N5, trading at N1,475/$1 on Monday, down from N1,470/$1 at the close of last week.
Abdullahi, a trader, told Legit.ng:
'While the pound and euro remained unchanged at N2,204.40 and N1,853.70, the Canadian dollar rose slightly to N1,152.30 from N1,150."
The development comes as Nigeria’s foreign reserves stood at $44.61 billion as of November 27, 2025.
Source: Facebook
Cardoso defends FX reserves rise
Olayemi Cardoso, governor of the CBN, stated that the country’s external reserves have been steadily increasing due to a more competitive naira and higher inflows from exports, boosted by greater oil production, stronger non-oil exports, and improved remittances.
Speaking at a press briefing following the CBN’s monetary policy committee (MPC) meeting in Abuja, Cardoso noted that Nigeria’s reserve levels have strengthened, providing a healthy import cover and benefiting from structural reforms in the foreign exchange market.
He added:
"The positive aspect is that these reserves are being built on a very systematic foundation."
Tanzania bans dollar
Earlier, Legit.ng reported that the Bank of Tanzania has officially banned the use of foreign currencies, including the US dollar, for transactions and payments within the country.
Under the new rules, all goods and services must be priced and settled exclusively in Tanzanian shillings.
In a public notice, Governor Emmanuel M. Tutuba explained that some transactions involving foreign currencies may still be permitted under specific conditions, but the general requirement is to use the local currency.
However, they may continue to use bank cards and other digital payment methods.
Source: Legit.ng
