Naira Holds Firm: Dec 3rd Exchange Rate

The Naira opened trading at the official window at ₦1,448.43 per dollar, according to data from the FMDQ Securities Exchange. Market sentiment remains cautiously optimistic as the local currency has hovered steadily around the ₦1,450 mark throughout the week. This stability is attributed to the sustained liquidity injection and improved transparency reforms championed by the Central Bank of Nigeria (CBN).

The parallel market, often referred to as the black market, showed little deviation from the official figures, trading between ₦1,455 and ₦1,460 to the dollar in Lagos and Abuja. This near-convergence marks a significant victory for the CBN’s “willing buyer, willing seller” policy, effectively reducing arbitrage opportunities.

Traders at the popular Wuse Zone 4 market in Abuja noted that demand has normalised. The relative stability of the Naira is underpinned by robust macroeconomic fundamentals, including Nigeria’s foreign exchange reserves, which have seen a consistent accretion, reaching approximately $44.56 billion as of late November 2025.

The National Bureau of Statistics recently reported that headline inflation dropped to 16.05% year-on-year in October 2025, a three-and-a-half-year low. This cooling inflation has increased real returns on Naira-denominated assets, attracting foreign portfolio investment.

The CBN has reiterated its commitment to price stability, with Governor Olayemi Cardoso emphasising that the current exchange rate reflects the “true market value” of the currency. Analysts expect the Naira to trade within the ₦1,445 – ₦1,465 band for the remainder of the festive season, with a positive outlook heading into 2026.