Naira Slides Against Dollar Across Markets on Jan 21

The naira declined marginally against the U.S. dollar on Wednesday, January 21, in both the parallel market and the Nigerian Foreign Exchange Market (NAFEM).

Currency dealers in Abuja told Economic Confidential that the naira traded at ₦1,490/$1 for buying and ₦1,500/$1 for selling, unchanged from Tuesday’s closing rate.

At the official window, the naira weakened to ₦1,420/$1 from ₦1,417/$1 recorded in the previous trading session.

Analysts, however, project further strengthening of the naira in 2026, with the currency expected to trade within a narrower and firmer range, supported by improving foreign exchange fundamentals, higher FX inflows, reduced speculative pressures, and enhanced price discovery.

They added that clearer pricing mechanisms and improved transparency have helped restore investor confidence, boost FX liquidity, and support naira stability.