Naira Shows Signs of Stability in Early February Trading
The Nigerian naira demonstrated renewed stability as trading opened in the second week of February 2026, holding steady against the U.S. dollar at around ₦1,363.84 across major foreign exchange windows.
Early market data on Monday indicated that the naira is maintaining its recent calm performance, supported by consistent monetary policies and growing confidence in foreign exchange management.
Official Market Opens Strong
At the Nigerian Foreign Exchange Market (NFEM), the naira posted a slight appreciation at the start of the week, trading at approximately ₦1,363.84 to the dollar—a modest gain from Friday’s closing rate of ₦1,366.96.
Early trading activity showed minimal volatility, with rates moving within a narrow range of ₦1,363.35 to ₦1,363.84.
This steady trend reflects growing confidence among market participants as full trading resumes for the week.
Financial Analysts Credit CBN for Naira Stability
Financial analysts attribute the naira’s renewed stability to the Central Bank of Nigeria’s (CBN) effective management of the Electronic Foreign Exchange Matching System (EFEMS). The platform has enhanced transparency and helped reduce sharp divergences between the official and alternative exchange markets.
With inflation reported at 15.15 percent and the Monetary Policy Rate held steady at 27.00 percent in early 2026, the naira has comfortably remained below the ₦1,400 psychological threshold.
Parallel Market Mirrors Calm Trend
The parallel, or black market, has reflected the same calmer tone seen in the official window. In major trading hubs such as Lagos, Abuja, and Kano, the U.S. dollar exchanged between ₦1,440 and ₦1,455.
Although the parallel market still trades at a premium, the gap has narrowed significantly compared to the sharp swings recorded at the end of 2025. Market operators report that demand for personal travel and small-scale imports is being met without pressure, while traders have noted the absence of aggressive speculation at the start of the week.
Analysts see this as a sign of the CBN’s success in channeling large corporate demand toward the official market, thereby reducing the likelihood of sudden price spikes.
Opening Exchange Rate Snapshot
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NFEM Opening Rate: ₦1,363.86
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NFEM Current Rate: ₦1,363.84
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Parallel Market Range: ₦1,440 – ₦1,455
As trading continues, investors will closely monitor foreign exchange inflows to see if the naira can strengthen further and test support below ₦1,360. For now, the outlook for February remains positive, with the local currency expected to maintain its defensive stance against the dollar.
