Naira Bounces Back as Dollar Demand Eases

The naira recorded strong gains against the US dollar on Monday, marking a notable recovery from last week’s decline. According to data from the Central Bank of Nigeria, the local currency appreciated to N1,465.29 per dollar at the official market, improving from N1,475.35 recorded on Friday, October 17, 2025. This represents a gain of N10.06 against the greenback within a single trading session.

Despite the improvement in the official market, the naira held steady in the parallel market, where it exchanged at N1,500 per dollar — unchanged from Friday’s rate. The rebound follows a challenging week in which the currency had weakened by N20.18 against the dollar on a week-on-week basis. Market analysts suggest that improved foreign exchange inflows and cautious optimism among traders may have contributed to Monday’s appreciation.