Naira Appreciates to ₦1,357 Against Dollar as Nigeria’s External Reserves Surpass Critical ₦50 Billion Milestone

The Nigerian naira appreciated to ₦1,357.77 per dollar at the official window as gross external reserves crossed the $50 billion mark after an 11-week rally.

By: AXL Media

Published: Mar 17, 2026, 4:36 AM EDT

Source: The information in this article was sourced from LEADERSHIP News

Naira Maintains Upward Trajectory in Official Trading

The Nigerian naira began the trading week with a notable surge in value, buoyed by a combination of rising global oil prices and a steady increase in foreign exchange inflows. According to official data from the Central Bank of Nigeria (CBN) website, the local currency appreciated by ₦8.46, closing at ₦1,357.77 per dollar at the Nigerian Foreign Exchange Market (NFEM) on Monday. This represents a 0.62% gain compared to the ₦1,366.23 rate recorded the previous Friday. This positive momentum reflects a growing confidence in the central bank’s recent policy adjustments and its ability to manage liquidity within the formal banking sector.

Stability at the Parallel Market and Widening Premium

While the official rate saw gains, the parallel market remained largely stagnant, with the naira holding steady at ₦1,410 to the dollar. Because the appreciation in the official market outpaced parallel movements, the premium between the two rates widened to ₦52.23, up from ₦43.77 last Friday. Analysts suggest that this stability in the informal market indicates a balanced supply-demand dynamic among retail users, even as institutional trades move toward the official window. The persistent gap highlights the continued need for policy alignment to further unify the exchange rates and discourage speculative activity.

External Reserves Hit Historic 11-Week High

A pivotal factor in the naira's resilience is the robust growth of the nation's 30-day moving average of gross external reserves. As of March 11, the reserves officially crossed the significant $50 billion threshold, reaching $50.027 billion. This extension marks the 11th consecutive week of reserve accumulation. According to financial experts, this substantial war chest provides the CBN with the necessary leverage to conduct measured interventions in the forex market, effectively containing excess volatility and shielding the economy from sharp currency depreciations.