The Nigerian naira gained ground against the U.S. dollar on Thursday at the official foreign exchange market, buoyed by increased dollar supply and easing demand pressures.
Data from the Central Bank of Nigeria (CBN) showed that the local currency closed at ₦1,535.47/$, appreciating by 0.10% compared to the previous day’s rate. During intraday trading, the naira touched a high of ₦1,538.54/$ but recovered on stronger liquidity inflows.
Market analysts attributed the appreciation to Nigeria’s rising external reserves, which climbed to $41.244 billion as of August 27, 2025, representing a $23.70 million increase from the previous day.
Oil prices also supported the naira, with Brent crude gaining 0.8% to settle at $68.62 per barrel, while U.S. West Texas Intermediate rose 0.7% to $64.60. The rebound came after U.S. President Donald Trump expressed dissatisfaction over Russian missile strikes in Ukraine, sparking renewed market concerns.
Meanwhile, gold prices reached a five-week high at $3,416.14 per ounce as investors sought safe-haven assets amid uncertainties around U.S. monetary policy and global geopolitical tensions.
Analysts forecast that the naira will likely remain stable in the near term, provided Nigeria’s external reserves continue to grow and oil prices sustain their upward trajectory.
