The Nigerian naira strengthened by ₦8.21 against the United States dollar during the first four trading sessions of September 2026, extending its recent period of relative stability in the official foreign exchange market.
Data from the Central Bank of Nigeria (CBN) showed that the naira closed at ₦1,321.22 per dollar on Friday, September 4, compared with ₦1,329.43/$ at the beginning of the month. The movement represents an appreciation of about 0.62 per cent.
The gain comes despite the currency recording a depreciation on Friday, when it weakened from ₦1,315.67/$ on Thursday to ₦1,321.22/$.
The development is important for businesses, consumers and investors because sustained naira appreciation could reduce the local-currency cost of imported goods, foreign-denominated obligations and some production inputs. However, a short-term gain does not necessarily indicate that the currency has entered a long-term appreciation cycle.
Meanwhile, the parallel foreign exchange market remained relatively stable during the period. Bureau de Change operators in Abuja reportedly quoted the dollar at around ₦1,400, leaving a gap of approximately ₦78.78 between the parallel and official rates at the end of the week.
Nigeria’s foreign exchange reserves also increased during the period, rising to about $54.08 billion as of September 3 from $53.81 billion previously. Higher reserves can strengthen the country’s capacity to provide dollar liquidity, although exchange-rate movements remain influenced by demand, supply and broader economic conditions.
