Naira Depreciates to 1,386.72 per USD on March 31

The Nigerian naira experienced slight depreciation against the US dollar at the official foreign exchange market on March 31, 2026, trading at 1,386.72 naira per dollar, down 0.23 percent or 3.14 naira from the previous day's close of 1,383.58. This marked the end of the first quarter amid ongoing global geopolitical tensions, though the currency showed signs of stability as trading opened on April 1 at 1,385.27 naira per dollar, supported by steady foreign currency inflows and robust domestic liquidity exceeding 8 trillion naira.

The depreciation reflected persistent pressure from high demand for dollars as a safe-haven asset, coupled with a marginal decline in Nigeria's external reserves to approximately 49.40 billion dollars by late March, down about 0.7 percent or 350 million dollars from earlier levels. Central Bank of Nigeria data indicated that interbank foreign exchange deals decreased, signaling reduced liquidity in the official window. In the parallel market, the naira also weakened, closing at 1,420 naira per dollar on March 31, up 5 naira from 1,415, with buying and selling rates ranging from 1,415 to 1,425 naira.

Contributing to the currency's dynamics were elevated...