[REVISION HISTORY]

Nigeria Naira exchange rate and liquidity dynamics

Updated 38 times since CLSTR started tracking revisions of this situation.

What changed

2026-10-24 15:48 UTC → 2026-10-26 06:10 UTC · added ~~removed~~

By ~~mid-October~~ late October 2026, the Nigerian naira continued to exhibit volatility against the US dollar. On October 13, the currency weakened to ₦1,335.50 per dollar, its weakest level since August, due to rising demand for international payments. By October 18, the naira showed slight fluctuations, closing at approximately ₦1,332 in the Nigerian Autonomous Foreign Exchange Market (NAFEM), while the parallel market saw a marginal appreciation to ₦1,359, narrowing the spread to roughly ₦27. On October 22, the naira experienced its sharpest single-day depreciation in 18 months, closing at ₦1,365/$ in the official Investors’ and Exporters’ (I&E) window—a decline of approximately 2.1% from the previous close. This volatility persists as foreign exchange demand reached a 15-year high of $18.34 billion in the second quarter of 2026. Following this depreciation, interbank foreign exchange turnover surged to $1.01 billion on October 23, driven by corporate year-end payments and seasonal commercial orders. By October 26, the official benchmark was reported at approximately ₦1,361, while the parallel market maintained a premium with selling rates between ₦1,385 and ₦1,390. Nigeria’s external reserves have maintained an upward trajectory, reaching an 18-year high. ~~Throughout September 2026,~~ Following a steady climb through September, reserves ~~grew from $54.08 billion to over $55 billion, supported~~ surged by ~~increased foreign capital inflows, stronger oil receipts,~~ $3.73 billion between October 9 and ~~diaspora remittances. By~~ October 8, 2026, gross external reserves reached an all-time high of $55.07 billion, while Central Bank of Nigeria Governor Olayemi Cardoso reported that net foreign reserves reached a record $46 billion, up from $34.80 billion in December 2025. 12, reaching $58.81 billion—the highest level since November 2008. Broader economic shifts include a significant recapitalisation exercise in the banking sector, which raised ₦4.65 trillion. Additionally, the Central Bank of Nigeria has utilized Open Market Operations to manage liquidity, which saw banking system liquidity drop from ₦5.89 trillion to ₦2.03 trillion following recent sales. Amidst these developments, Fitch Ratings revised Nigeria’s sovereign outlook from stable to positive.

Versions

Only revisions since CLSTR began indexing content versions appear here. Select a version to see what changed compared to the one before it.