The Nigerian naira recorded mixed performance across foreign exchange market segments on Monday, as gains in the parallel market contrasted with a slight depreciation at the official window.
Data from the Nigerian Autonomous Foreign Exchange Market (NAFEM) showed that the naira weakened marginally to ₦1,375.00/$1 on May 25, 2026, compared to ₦1,372.75/$1 recorded in the previous trading session. This represents a depreciation of ₦2.25 or 0.16%.
However, the local currency strengthened in the parallel market, where it traded at ₦1,385.00/$1 against ₦1,390.00/$1 on May 22, reflecting a gain of ₦5 or 0.36%.
The movement narrowed the gap between the official and parallel market rates to ₦10, reinforcing signs of improved convergence in Nigeria’s foreign exchange market.
Naira Gains Against Pound, Euro
The naira also posted stronger performances against other major foreign currencies in the parallel market.
Against the British pound sterling, the naira appreciated to ₦1,830/£1 from ₦1,850/£1, representing a ₦20 gain or 1.09%.
The euro recorded the biggest shift, with the exchange rate improving to ₦1,590/€1 from ₦1,640/€1. This marks a ₦50 appreciation for the naira, equivalent to 3.14%.
Meanwhile, the Canadian dollar remained unchanged at ₦1,005/C$1.
External Reserves Rise
Nigeria’s external reserves continued their upward trend, according to data from the Central Bank of Nigeria (CBN).
The reserves rose to $48.891 billion as of May 21, 2026, from $48.720 billion recorded on May 19, reflecting an increase of approximately $171 million or 0.35%.
Analysts attributed the sustained growth in reserves to improved crude oil earnings, stronger diaspora remittance inflows, and the impact of ongoing foreign exchange reforms introduced by the CBN to improve liquidity and investor confidence.
