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The naira depreciated by N28 in opposition to the US greenback to shut at N1,365/$ on October 22, 2026, marking its sharpest single-day decline since April 2025.
Data from the Central Bank of Nigeria (CBN) confirmed the trade fee weakened from N1,337/$ recorded on October 21, representing a depreciation of about 2.1% in one buying and selling session.
Checks by Nairametrics revealed that the newest decline was the most important in the closing trade fee since April 9, 2025, when the naira weakened by N29 from N1,615/$ to N1,644/$.
Naira reverses features
The newest motion reversed the comparatively slender fluctuations recorded in the previous classes.
CBN knowledge confirmed that the foreign money had closed at N1,334.99/$ on October 20 and N1,337/$ on October 21 earlier than the newest depreciation.
- The trade fee reached an intraday excessive of N1,369/$ on October 22, whereas the low was N1,336/$.
- The weighted common fee elevated to N1,344.40/$ from N1,334.72/$ recorded on October 21.
- The easy common fee additionally rose to N1,344.66/$ from N1,335.41/$ in the earlier session.
- Interbank transactions totalled 181 offers, whereas the reported interbank turnover stood at roughly N316.55 million.
The daily motion stands out in opposition to the extra modest adjustments recorded earlier in October, when the naira traded largely inside the N1,330–N1,340/$ vary.
FX demand and portfolio flows form market outlook
The depreciation comes amid vital demand for international trade and continued motion in funding flows.
Nairametrics’ evaluation of Financial Markets Dealers Association knowledge confirmed that Nigeria’s international trade demand reached a 15-year high of $18.34 billion in the second quarter of 2026, with demand for {dollars} rising significantly in providers and monetary funds.
- Nigeria’s portfolio funding rose by 45% to $6.51 billion in the second quarter of 2026, in accordance to an earlier Nairametrics report.
- Foreign trade reserves elevated by $12.76 billion year-on-year to $54.61 billion as of September 14, 2026.
- The reserve degree was above the CBN’s projected year-end 2026 degree of roughly $51.04 billion, as reported by Nairametrics in December 2025.
These figures level to a market formed by each international trade demand and exterior liquidity. However, the newest daily depreciation alone doesn’t set up the particular elements behind Thursday’s motion.
(*18*) stay above CBN projection
Nigeria’s international trade reserves present a buffer for assembly exterior obligations and supporting confidence in the international trade market.
- The reported enhance to $54.61 billion by September 14 positioned reserves above the CBN’s earlier year-end projection of $51.04 billion.
- At the identical time, the report degree of international trade demand in the second quarter highlights the dimensions of greenback necessities throughout the financial system.
Portfolio funding inflows additionally elevated throughout the interval, including one other dimension to the nation’s exterior flows.
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