Net Forex Inflow Triples to $9.22 Billion in January as Naira Strengthens, Reserves Hit $48.88 Billion
By Aboki Forex —
Nigeria’s foreign exchange market recorded a major boost in January 2026. Net foreign exchange inflows tripled to $9.22 billion, driven by stronger dollar supply and lower outflows. Data from the Central Bank of Nigeria (CBN) shows aggregate forex inflows rose by 45.24 percent to $12.23 billion, up from $8.42 billion in December 2025. Total outflows declined sharply, pushing net inflows to $9.22 billion compared to $3.11 billion the previous month.
Both official and autonomous sources contributed to the rise. Forex inflow through the CBN increased to $4.66 billion from $3.69 billion. Autonomous inflows climbed to $7.57 billion from $4.73 billion. Outflows also moderated. CBN outflows dropped to $1.57 billion from $3.04 billion, while autonomous outflows fell to $1.44 billion from $2.28 billion. The apex bank recorded a net inflow of $3.09 billion, up from $660 million. Net inflows from autonomous sources jumped to $6.14 billion from $2.45 billion.
The improved dollar liquidity supported the naira at the Nigerian Foreign Exchange Market (NFEM). The monthly average exchange rate appreciated by 2.43 percent to N1,416.52 per dollar from N1,450.97 in December. The end-of-period rate strengthened to N1,386.55 per dollar compared to N1,435.76. Market activity also accelerated. Average daily turnover at the NFEM rose by 55.28 percent to $587.62 million from $378.42 million, reflecting improved liquidity and stronger participation.
Nigeria’s external reserves rose to $48.88 billion in January from $45.75 billion in December. The CBN said the reserve level covers 8.93 months of imports of goods and services, well above the international benchmark of three months.
On the demand side, forex utilisation moderated. Total sectoral forex utilisation fell by 25.03 percent to $3.40 billion from $4.54 billion in December. Visible imports accounted for $1.86 billion, or 52.65 percent of total utilisation. Invisible imports stood at $1.54 billion. Within visible imports, the industrial sector remained the largest consumer at 38.87 percent. Manufactured products followed with 22.36 percent, while oil imports and food products accounted for 19.95 percent and 12.23 percent respectively. Transport, minerals, and agriculture made up the rest.
For invisible imports, financial services dominated at 93.11 percent. Transport services accounted for 2.87 percent, business services 2.71 percent, and communication services 0.99 percent.
Capital outflows also moderated. Total capital outflow declined to $1.63 billion in January from $1.77 billion in December. Loan repayments fell by 31.25 percent to $440 million. Dividend repatriation dropped sharply by 98.10 percent to $10 million. However, capital transfers increased by 59.45 percent to $1.18 billion, making up 72.25 percent of total capital outflows. Loan repayments accounted for 27.29 percent.
Sectorally, the banking sector accounted for the largest share of capital outflows at 41.84 percent. The financing sector followed with 33.03 percent, while oil and gas accounted for 20.82 percent. Agriculture, production, and manufacturing contributed smaller shares.
The January figures point to a broad-based improvement in Nigeria’s external sector. Stronger forex inflows, lower outflows, rising reserves, higher market turnover, and a firmer naira all signal improved liquidity conditions in the foreign exchange market.