Dollar to Naira Exchange Rate Today, January 21, 2026

The Nigerian Naira has demonstrated stability against the United States Dollar during the mid-week trading session, largely reflecting positive perceptions of the Central Bank of Nigeria’s (CBN) macroeconomic outlook for 2026.

Observations from market participants indicate a consistent performance in both the official and parallel foreign exchange markets as economic activities ramp up for the year.

In the Nigerian Foreign Exchange Market (NFEM), the Naira experienced minor fluctuations but largely remained within a controlled range. It opened at approximately 1,419.29 per dollar, with early morning trading settling at around 1,419.77 per dollar. This rate is consistent with the previous session’s closing figures, which hovered near the 1,420 mark.

The stability observed in the official exchange window can be attributed to a reliable supply of foreign currency and the central bank’s ongoing commitment to price transparency.

Financial analysts point to the 2026 projections, which suggest that external reserves could exceed $50 billion later this year, as a contributing factor to the increased investor confidence, helping to mitigate the sharp volatility typical in prior January trading cycles.

In the informal or parallel market, the exchange rate remains slightly elevated compared to the official rate, but the disparity is still manageable. In key financial hubs such as Lagos, Abuja, and Kano, the U.S. dollar is currently trading between 1,480 and 1,485 naira.

Bureau De Change operators report that while there is retail demand for currency related to personal and business travel, there is a noticeable lack of aggressive speculation that has previously put pressure on the local currency.

This environment of stability is also supported by improved diaspora remittances and a more predictable influx of foreign currency through formal banking institutions.

The broader outlook for the Naira remains cautiously optimistic. With inflation projected to moderate to 12.94 percent over the course of the year and real GDP growth expected to hit 4.49 percent, analysts believe the current exchange rate levels are sustainable.

The transition into a “stabilization year” has so far been marked by improved crude oil output and a surplus in the balance of payments, providing a solid cushion for the Naira.

However, market watchers remain attentive to global oil price trends and domestic production levels, as these remain the primary drivers of foreign exchange liquidity in the Nigerian economy.