Naira slips to N1,367.61 as CBN sells $500m and turnover hits record

The naira fell to N1,367.61 per dollar on Monday, a three-month low, even after the Central Bank of Nigeria sold $500 million and foreign exchange turnover hit a record. CBN data showed the local currency lost N5.77 against the dollar at the Nigerian Foreign Exchange Market, compared with N1,361.84 on Friday.

Official and parallel market rates

The last time the naira traded at that level was on July 31, 2026, when it exchanged at N1,368.22 per dollar. The highest quoted rate on Monday was N1,380 per dollar, N15 stronger than the highest rate of N1,395 recorded on Friday.

In the parallel market, the naira weakened by N5, or 0.36 percent, to close at N1,382 per dollar on Monday, compared with N1,377 per dollar on Friday. The gap between the official and parallel market rates narrowed to 1.06 percent, or N14.39, on Monday from 1.11 percent, or N15.16, on Friday.

Turnover and reserves

NFEM figures for deals and turnover were not available as of the time of reporting. Total turnover at the window had surged by 180.29 percent to a record $3.24 billion on Friday from $1.16 billion on Thursday. The number of deals jumped by 52.63 percent, from 399 on Thursday to 609 on Friday.

In the interbank segment, total turnover declined by 39.20 percent to $614.25 million on Monday from $1.01 billion on Friday. The number of deals dropped by 36.19 percent, from 315 on Friday to 201 on Monday.

Nigeria’s external reserves rose to $55.17 billion as of October 23, 2026. That was a 28.62 percent increase from $42.90 billion in the corresponding period of 2025, according to CBN data.

Banks adjust rates, CBN flags risks

Nigerian banks raised their foreign exchange rates for international transactions to reflect market conditions. First Bank of Nigeria increased its rate for international transactions by N20, from N1,375 on Friday to N1,395 on Monday. The exchange rate for international payments using Stanbic IBTC naira cards stood at N1,375 per dollar on Monday.

Muhammad Sani Abdullahi, deputy governor of the CBN, said reserve adequacy and prospective portfolio inflows linked to Nigeria’s return to a J.P. Morgan bond benchmark were supportive of exchange-rate stability. He cautioned that stronger foreign exchange demand, volatile oil prices and geopolitical disruptions around the Strait of Hormuz remained significant downside risks.

Abdullahi also warned that persistently excess reserves could weaken monetary policy transmission, while an abrupt tightening of liquidity could constrain credit and worsen non-performing loans. He said there was need to balance liquidity management with financial stability.

The weaker naira raises costs for importers and businesses that pay in dollars. The narrower gap between official and parallel rates reduces the spread between the two markets.