As the first week of February 2026 came to an end, the Nigerian Naira continued to move steadily in the direction of the US dollar. Underpinned by regular Central Bank of Nigeria (CBN) interventions and an open electronic trading system, the local currency has shown notable durability in the official window despite a minor intraday adjustment.
Official Trends in the Market
On Friday, February 6, the Naira began trading on the Nigerian Foreign Exchange Market (NFEM) with a robust showing at 1,367.10 per dollar. The rate saw slight swings as trade continued throughout the morning, reaching a mid-morning average of 1,366.53.
The currency’s movement during the week has been marked by a degree of stability, as evidenced by this performance. Since the beginning of February, the official rate has continuously remained below 1,400, according to CBN financial data. A stable Monetary Policy Rate (MPR) of 27.00% and a decreasing inflation rate of 15.15% are two of the causes that analysts credit for this stability. Together, these variables have increased investor confidence and reduced speculative demand.
Market Performance in Parallel
In contrast to the official sector, the parallel market, which is frequently susceptible to speculative movements and retail demand, is rather quiet and has a small spread. Bureau De Change operators are offering the dollar between 1,445 and 1,460 in key commercial centers like Lagos and Abuja.
The “black market” is still trading at a premium over the NFEM rate, but for the majority of the week, the difference has been noticeably small. According to traders, there haven’t been any significant surges because there hasn’t been any aggressive stockpiling and there is a consistent supply of dollars for personal travel and small business needs. This consistency shows that the CBN’s attempts to direct greater demand into the official window are still having an impact.
Rate Summary for February 6
Official NFEM Opening: 1,367.10
Current NFEM (Official): 1,366.53
Range of the Parallel Market: 1,445–1,460
Market observers are nevertheless upbeat about the Naira’s future as the week draws to a close. The local currency is anticipated to start the second week of February on a solid footing, as the macroeconomic outlook for 2026 predicts additional stability. Investors’ attention will now turn to the implications of impending Treasury bill auctions and how they might affect market liquidity as a whole.
