SAT DEC 20 2025-theGBJournal|The naira fell this week by 0.9% w/w to N1,443.00/USD, as demand from local corporates ahead of the holiday season outweighed the supply from the CBN (USD150.00 million).
In the forwards market, the naira rates depreciated across the 1-month (-0.5% to N1,492.73/USD), 3-month (-0.2% to N1,540.04/USD) and 6-month (-0.2% to N1,602.20/USD) contracts, while it appreciated marginally on the 1-year (+1bp to N1,726.67/USD) contracts.
Analysts say FX demand from local corporates may remain elevated this month, driven by imports to meet festive season consumer demand and possible stockpiling of inputs for first quarter production.
Nevertheless, the naira is anticipated to remain broadly stable, supported by the CBN’s measured interventions to manage excess volatility and continued inflows from foreign portfolio investors.
Meanwhile, after twenty five consecutive weeks of accretion, the gross FX reserves declined this week by USD230.74 million w/w to USD45.21 billion (December 17).
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