Following the Central Bank of Nigeria’s 302nd Monetary Policy Committee (MPC) meeting, the naira depreciated further on Tuesday to close at N1,493.20 per dollar at the official market.
From N1,491.49 on Monday and N1,488 registered last Friday, this marked a slight dip.
In the parallel market, the local currency also lost ground, trading at N1,521.50 per dollar compared to N1,518 the preceding day. Official and informal markets grew apart as a result of this, a trend that worries analysts and traders still today. Sources at Abuja’s Wuse Zone 4 verified the data from the market.
Although the naira is fighting the dollar, Nigeria’s foreign reserves are growing quickly, The News Chronicle understands. CBN data showed reserves rising to a six-year high and the greatest level since September 2019—that is, $42.03 billion on Tuesday. Delivering 13 gains in 14 sessions and signaling enhanced foreign inflows, the steady rise now spans almost every trading day in September.
Meanwhile, the MPC lowered the Monetary Policy Rate (MPR) by 50 basis points, bringing it from 27.5 percent to 27 percent. CBN Governor Olayemi Cardoso said the change shows a careful effort to relax financial circumstances, supported by subdued inflation and better macroeconomic indices, when announcing the decision. The Committee also narrowed the asymmetric corridor around the MPR to +250/-250 basis points, guaranteeing that monetary easing does not derail disinflation initiatives.
Driven by both the oil and non-oil industries, Nigeria’s economy is still resilient, with a 4.23 percent actual GDP growth in the second quarter of 2025. Analysts confirm that the new monetary policy could encourage credit growth for small businesses and major sectors when combined with government changes.
The Centre for the Promotion of Private Enterprise (CPPE) noted when describing the CBN’s action as timely, noted that if maintained, it might create room inclusive development, employment, and investment.
