The naira hit an all-time high of N1,448.20 per dollar at the official foreign exchange market on Tuesday, its strongest level since trading began on the Electronic Foreign Exchange Market System (EFEMS).
This performance represents a significant gain of 14.70 per cent equivalent to N211.92 compared to N1,661.12 recorded in December 2024 during the initial phase of the EFEMS platform.
At the close of trading on Tuesday, the local currency strengthened by 0.3 per cent as the dollar was quoted at N1,448.20, an improvement from N1,452.79 quoted on Monday. The parallel market, popularly known as the black market, maintained stability as the Naira closed at N1,485 per dollar, unchanged from the previous day.
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Bala Mohammed Bello, a member of the Monetary Policy Committee (MPC), attributed the naira's relative stability to tight liquidity management, increased investor confidence and the impact of government's recent reforms in foreign exchange administration.
He noted that speculative activity in the FX market has declined significantly, a development that has increased transparency and strengthened market-based price discovery. According to him, the current stability of the Naira is expected to persist in the medium term, supported by the steady build-up of external reserves, which stood at $42.8 billion by October 22, 2025.
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A recent report by United Capital Plc also reflected the positive trajectory of the Naira, showing that the currency appreciated by 2.47 per cent to average N1,497.79 per dollar in September, compared to N1,534.75 per dollar recorded in August. The report further indicated that the appreciation of the Naira against the US dollar had a notable impact on the prices of imported goods.
Notably, the average price of imported rice fell 0.42 percent in September compared to August 2025 levels, underscoring the moderating impact of the stronger naira on consumer prices and import costs.
