The Naira opened the week on a mild depreciation, trading at N1,467.01/$1 on Tuesday, slightly weaker than the N1,460/$1 it closed at on Monday.
This is according to data tracked by Naijaonpoint on the Central Bank of Nigeria’s (CBN) website.
Naijaonpoint reports that the currency closed at N1,458/$1 on Friday, recording its best performance since 2024 as the Central Bank of Nigeria (CBN) intensified efforts to stabilize the foreign exchange market and sustain recent monetary gains.
CBN data shows that the Naira began last week at N1,464/$1 on Monday before depreciating slightly to N1,472/$1 on Tuesday.
At the parallel market, the naira traded between N1,498 and N1,504/$1.
Nigeria’s foreign reserves rose to $42.6 billion, up from $42.5 billion recorded on Monday, according to the CBN. This marks a steady upward trend since July 14, 2025, reflecting improved inflows from oil exports.
Analysts believe this consistent growth in reserves will enhance the CBN’s ability to stabilize the naira and manage speculative pressures in the currency market.
In its latest economic outlook, Standard Bank revised its foreign exchange forecast, stating, “While the risks remain evident, we now again lower our year-end FX forecasts. We see the NGN at 1,458.8 against the USD by this year-end and 1,473.0 by December 2026.”
“This should continue to support gross FX reserves, thereby increasing the CBN’s ability to support the currency and ensure orderly exits whenever foreign investors exit the market,” the bank stated.
Despite the naira’s slight depreciation, Nigeria’s inflation rate is projected to continue its downward trend in September 2025, with analysts linking the expected moderation to a firmer exchange rate, improved food supply, and stable energy prices.
According to Naijaonpoint Research Team’s projection, “since stability in the exchange rate and energy markets was maintained, September could mark the sixth consecutive month of easing inflation.”
If realized, this would mark a significant win for monetary authorities, who have pursued a coordinated mix of fiscal discipline, tighter monetary policy, and FX management reforms aimed at restoring macroeconomic stability.
The National Bureau of Statistics (NBS) reports that Nigeria’s headline inflation rate eased for the fifth consecutive month, dropping to 20.12% in August 2025 from 21.88% recorded in July 2025.
This means, according to the NBS, that in August 2025, the rate of increase in the average price level was lower than the rate of increase in the average price level in July 2025.
The NBS is expected to release its CPI report for September on Wednesday.