Naira Rises to ₦1,442/$ as Edun Reassures Investors
Atume Terfa
The naira opened post-Christmas trading on a positive note, edging higher against the US dollar as calm returned to the foreign exchange market following recent security concerns. At the Nigerian Autonomous Foreign Exchange Market (NAFEX), the local currency appreciated slightly to about ₦1,442.51 to the dollar, improving from previous levels around ₦1,443/$1.
Market analysts attributed the modest gain to renewed investor confidence after the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, moved quickly to address fears triggered by reports of joint Nigerian-US military air operations in Sokoto State. Edun assured both local and foreign investors that Nigeria’s economy remains stable, resilient and open for business, insisting that the security operation would not disrupt financial markets or capital flows.
Reinforcing his message, the minister emphasised that Nigeria’s macroeconomic fundamentals remain sound, adding that ongoing security actions are aimed at strengthening national stability without undermining economic growth. His reassurance appeared to steady sentiment among currency traders and portfolio investors, helping to ease short-term pressure on the naira.
Beyond the official window, the naira also showed signs of resilience across other segments of the FX market. Commercial foreign exchange counters recorded slight gains, while the parallel market saw modest appreciation as dollar demand eased following the holiday slowdown.
The naira’s recent movement comes against the backdrop of a turbulent 2025 foreign exchange year, marked by sharp swings driven by global economic pressures, domestic demand-supply imbalances and policy interventions by the Central Bank of Nigeria (CBN). Still, recent signals from economic managers and improved post-holiday trading activity have helped to soften volatility.
As trading resumes fully in the new year, market participants will be watching closely to see whether the naira can sustain its current momentum or face renewed headwinds in the foreign exchange market.
