Nigeria’s naira ended 2025 on a stronger footing, closing at N1,429 to the dollar on December 31, according to data from the Central Bank of Nigeria.
The year end position reflects a steady recovery in the final quarter, improving from N1,450.01 at the start of December and marking a clear turnaround from earlier volatility.
After opening 2025 around N1,538.50 per dollar, the naira came under intense pressure in the first half of the year, with April recording the weakest level at about N1,602.
A gradual correction began from May, supported by tighter monetary conditions and improving confidence in the foreign exchange market. By September, the currency had traded below the N1,500 mark for most of the month, before strengthening further in October.
The News Chronicle understands that improved FX inflows, reduced speculative demand, and ongoing market reforms played a key role in stabilising the naira toward the end of the year.
Analysts say clearer price discovery and stronger policy enforcement helped calm the market after months of sharp swings.
Although the naira closed slightly weaker in November, renewed gains in December pushed it to one of its strongest levels of the year.
While structural challenges remain, ending 2025 stronger than it began offers cautious optimism for 2026, especially as the CBN prepares further FX reforms and projects higher external reserves driven by stronger inflows.
