Data from the Central Bank of Nigeria (CBN) showed that the naira depreciated to N1,361.84 per dollar on Friday from N1,334.72 on Wednesday, representing a decline of N27.12, or approximately 2.03 per cent.
The currency also weakened at the parallel market, where it lost N5 to trade at N1,375 per dollar, according to figures confirmed by Bureau de Change operators.
Naira Records Loss at Official Forex Market
The latest figures indicate that the naira came under renewed pressure at the official foreign exchange market during the period under review.
The movement from N1,334.72 to N1,361.84 per dollar means that buyers needed more naira to purchase one dollar.
The naira’s decline over the two-day period reflects a depreciation of approximately 2.03 per cent against the US currency.
The reported figures also showed a similar N27.12 decline over the week at the official market.
Parallel Market Exchange Rate Reaches N1,375/$
At the parallel foreign exchange market, the naira also weakened against the dollar.
Bureau de Change operators quoted the exchange rate at N1,375 per dollar, compared with the previous rate of N1,370, representing a depreciation of N5.
Based on the reported rates, the difference between the parallel market rate of N1,375 and the official rate of N1,361.84 stood at N13.16 per dollar.
Exchange rates can vary across dealers and transactions, so actual rates may differ depending on the amount exchanged and the operator involved.
Nigeria’s External Reserves Stand at $55.16 Billion
The naira’s decline occurred despite Nigeria’s external reserves standing at $55.16 billion as of October 22, 2026, according to the reported CBN data.
External reserves consist of foreign currencies and other eligible foreign assets held by a country’s monetary authorities. They help support international payments and can provide a buffer during periods of pressure on the domestic currency.
However, the size of a country’s reserves does not automatically determine the daily value of its currency.
The exchange rate can also be influenced by demand for foreign currency, the supply available through official channels, international transactions, investor confidence and broader economic conditions.
Consequently, Nigeria’s reported reserve position and the naira’s depreciation can occur at the same time.
What the Naira’s Decline Means for Nigerians
A weaker naira can increase the local-currency cost of imported goods and services when other factors remain unchanged.
Businesses that rely on imported raw materials, machinery, medicines and other products may face higher costs when purchasing dollars becomes more expensive.
These additional expenses can potentially feed into consumer prices, although the actual impact depends on factors such as existing inventory, pricing decisions and other production costs.
For Nigerians who need dollars for international travel, education, medical expenses or business transactions, exchange-rate movements can also affect how much naira they need.
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