The naira opened February on a positive note, strengthening at the official foreign exchange market to close at N1,384.5 to the dollar on the first trading day of the month.
Data from the Central Bank of Nigeria confirms the gain, extending the currency’s steady recovery from late January.
The move represents a modest improvement from the N1,391 closing level at the end of January and points to a calmer start to the new month for the foreign exchange market.
Compared with early 2025, when volatility dominated trading, the naira is beginning February from a noticeably stronger position.
The News Chronicle understands that a key development drawing attention is the continued narrowing gap between the official and parallel markets.
While the naira traded around N1,453 to the dollar in the street market at the start of February, the spread to the official rate has tightened further, easing concerns about price distortion and speculative pressure.
Market data also highlights a sharp contrast with the same period last year. In February 2025, the naira was already trading well above N1,500 at the official window, with an even wider divergence in the parallel market.
This year’s opening levels suggest improved market alignment, even as analysts remain cautious about demand pressures and external risks.
Nigeria’s external reserves remain a critical support factor. At over $46 billion, reserve buffers continue to underpin confidence and give monetary authorities room to respond to short term market shocks as February trading unfolds.
