NAIRA HITS TWO-YEAR HIGH AGAINST DOLLAR AS EFEMS TAKES EFFECT
The naira has posted its strongest gain against the United States dollar in the official foreign exchange market in two years, buoyed by the launch of the Electronic Foreign Exchange Matching System (EFEMS).
Data released by the Central Bank of Nigeria (CBN) on Thursday showed that the naira appreciated to N1,396.99 per dollar at the official market, marking a day-on-day gain of N3.49.
The local currency also strengthened in the parallel market, where it gained N5 to close at N1,480 per dollar, compared with N1,485 recorded the previous day.
The latest performance extends a four-day rally by the naira in the official foreign exchange window, signalling improved market confidence since the introduction of EFEMS, which is aimed at enhancing transparency and efficiency in FX trading.
The appreciation coincided with a rise in Nigeria’s external reserves.
According to the apex bank, reserves climbed to $46.11 billion as of January 28, 2026, from $46.04 billion on January 26, reflecting increased inflows and improved liquidity conditions.
Market watchers say the combination of rising reserves and the new FX matching framework has contributed to the recent stability and strengthening of the local currency, after months of volatility in the foreign exchange market.
The CBN has maintained that ongoing reforms in the FX market are designed to restore confidence, improve price discovery, and ultimately support macroeconomic stability.
