By Boluwatife Oshadiya | September 10, 2026
Key Points
- Naira depreciates to ₦1,329.21 per dollar at the official FX market from ₦1,320.25
- Interbank FX turnover jumps 70% to $94.43 million as trade activity increases
- External reserves rise to $54.28 billion amid stronger FX inflows and higher oil prices
Main Story
The naira weakened against the U.S. dollar at Nigeria’s official foreign exchange market on Wednesday as a shift in dollar demand interrupted its recent appreciation trend.
Central Bank of Nigeria (CBN) data showed the spot exchange rate falling to ₦1,329.21 per dollar from ₦1,320.25 on the previous trading day. Rates at the Nigerian Foreign Exchange Market (NFEM) moved between ₦1,321.50 and ₦1,334 during the session.
MarketForces Africa reported that FX traders on Broadstreet identified a shortfall in dollar supply as a factor behind the naira’s decline.
The move came after the local currency had strengthened significantly over the preceding week, supported by increased foreign exchange inflows and easing demand pressures.
Trading activity also increased sharply. Interbank FX turnover rose to $94.43 million from $55.60 million, representing an increase of about 70%, while the number of interbank transactions climbed to 86 from 58.
Nigeria’s gross external reserves also increased to $54.28 billion from $54.21 billion, according to the data cited in the report. The increase points to continued additions to the reserve position as foreign exchange inflows remain supportive.
The report said some analysts expect reserves to approach $55 billion within weeks if the current momentum persists, particularly with oil prices receiving fresh support from disruptions to global supply.
Brent crude rose above $100 per barrel after attacks on oil facilities and shipping in the Middle East raised concerns about supply-chain disruptions. Brent gained nearly 3% to $100.72, while U.S. crude rose 2.4% to $95.25.
What’s Being Said
MarketForces Africa reported that FX traders operating on Broadstreet attributed the naira’s weakness to a shortage of dollar supply at the market.
The report also cited analysts who said Nigeria’s external reserves could reach $55 billion within weeks if the current pace of accumulation continues.
No direct quotation from the traders or analysts was provided in the source material.
What’s Next
- The direction of dollar supply and demand at the NFEM will remain important for the naira’s near-term performance
- Further additions to external reserves could strengthen the country’s FX liquidity position if current inflows persist
- Sustained oil prices above $100 per barrel could provide additional support for Nigeria’s external earnings, subject to production and export conditions
Bottom line
The Bottom Line: The naira’s latest decline shows that its recent rally remains sensitive to shifts in dollar supply and demand. Rising reserves and stronger external earnings provide support, but the exchange rate remains vulnerable when dollar liquidity tightens.
