The Nigerian naira finished January 2026 with notable strength against the U.S. dollar in the official foreign exchange market, closing the month at ₦1,386 per dollar, its firmest level in recent weeks as trading activity reflected improved liquidity and market confidence.
Data from the Central Bank of Nigeria (CBN) showed that the local currency steadily gained ground in the final days of January, appreciating from earlier levels above ₦1,420/$ as investors responded to stronger foreign exchange inflows and reduced volatility.
Market analysts attribute the naira’s uptrend to a combination of steady oil receipts, increased non-oil inflows, and structural improvements in the FX market, which have helped narrow pricing gaps and support stability.
If sustained, this trend could help ease inflationary pressures on imported goods and bolster broader economic confidence.
The currency also recorded modest gains in the parallel (informal) market, further reflecting improving sentiment across FX segments.
