Naira gains 3.46% to close at N1,478.00/$ in September 2025

Amid Central Bank of Nigeria (CBN) intensive   policies at the foreign exchange market, the Naira at the official rate in  September 2025 appreciated by 3.46  per cent to close at N1,478.00 against the dollar

It closed Augusut 2025  at N1,531.00 against the dollar. 

According to the daily Nigerian Foreign Exchange Market (NFEM) rates of the CBN, the local currency has appreciated to the average N1,400 mark in September 2025 to reflect significant gain so far this year.

The local currency against the dollar opened 2025 at official rate of N1,535.00 against the dollar and it has appreciated by 3.7per cent in nine months to N1,478.00 against the dollar.

WESTERNPOST can report that the CBN is intervening in the foreign exchange market—selling dollars or restricting dollar outflows—to support the naira.

Also, the apex banking sector regulating body is implementing tighter foreign exchange policies (e.g. limiting speculative or round-trip transactions).

When demand for dollars falls (for instance, due to lower import activity or capital outflows), there’s less pressure on the naira. Some reports suggest “subdued demand for foreign currency” is aiding the naira’s strength.

Also, if businesses and consumers buy fewer imports (due either to cost, import restrictions, or preference for local goods), that reduces dollar demand.

More inflows of dollars from exports (especially oil and gas), remittances (money sent home by Nigerians abroad), and portfolio investments can increase supply of dollars in the foreign exchanage market, which supports the naira.

Some reports refer to improving “liquidity conditions” and rising reserves assisting the currency.

If the market participants believe that the naira will hold or strengthen, that can reduce speculative pressure to sell naira for dollars. In other words, expectations can become self-reinforcing. Some analysts attribute recent gains in part to improved investor confidence.

In Nigeria, there has often been a large spread between the “official” foreign exchange rate (set/managed by the CBN) and the “parallel” or black-market rate. When that spread narrow, it tends to push the official rate upward (i.e. a stronger naira) as arbitrage opportunities reduce. Some commentary notes that the volatility and spreads have fallen.

However, the naira appreciated this week by 1.4per cent Week-on Week( w/w) to N1,457.00 against the dollar, driven by sustained inflows from both offshore investors and International Money Transfer Operators (IMTOs).

Analysts at Cordros Research maintained that a positive outlook on the naira, supported by expectations of sustained foreign exchange liquidity

.“On the domestic front, rising non-oil exports and improving market confidence should underpin inflows, while externally, healthy FX reserves, a positive current account position, and a shift toward global monetary easing are expected to reinforce foreign investor sentiment and stimulate additional FX market inflows,”” the firm added.