NEWS

Naira Appreciates to N1,490/$ in the parallel market and depreciates in NFEM

by
Hand holding ₦1000 Naira banknotes from Central Bank of Nigeria

The Naira recorded a slight appreciation in the parallel market, closing at N1,490 per dollar on January 27, 2026, compared to N1,495 the previous weekend.

This improvement reflects reduced demand pressure and increased supply from diaspora remittances during the festive season.

In the official Nigerian Foreign Exchange Market (NFEM), the Naira depreciated to N1,416.5 per dollar, driven by ongoing supply constraints and import demand.

The gap between the parallel and official rates remains narrow, indicating relative stability compared to earlier volatility in 2025.

“The CBN’s interventions support this stability, building on recent reforms like the national license upgrades for Opay, Moniepoint, and Palmpay.”

The Central Bank of Nigeria (CBN) has maintained interventions to support the Naira, including forex sales and policy adjustments to enhance liquidity.

Recent data shows improved inflows from exports and remittances, contributing to the parallel market gain. However, the NFEM rate reflects structural challenges in official supply channels.

These movements impact inflation, import costs, and investor confidence. The parallel market rate influences cash-based transactions, while NFEM affects official imports and debt servicing. Analysts monitor these trends closely for signs of sustained stability or further shifts.

The CBN’s ongoing reforms aim to converge rates and reduce arbitrage opportunities, with expectations of continued monitoring in early 2026.

“Naira fluctuations impact import costs, including fuel, with marketers warning of petrol reaching N1,000/litre as crude crosses $70.”

Opay, Moniepoint, and Palmpay are upgraded to national licenses by CBN

by
CBN upgrades Opay and Moniepoint to national licenses in Nigeria 2026

The Central Bank of Nigeria (CBN) has upgraded the licenses of several major fintech companies and microfinance banks, including Opay, Moniepoint, and Palmpay, to national status. This move allows these institutions to operate nationwide, expanding their services beyond previous regional limitations.

The upgrade reflects compliance with regulatory requirements, including increased capital thresholds and enhanced risk management standards.

Operators with national licenses can now open physical branches across all states, offer a wider range of financial products, and serve as salary accounts for employees. This change aligns with the CBN’s push for financial inclusion and a more robust digital banking ecosystem in Nigeria.

Fintech firms like Opay, Moniepoint, and Palmpay have grown significantly in recent years, providing mobile money, payments, and lending services to millions of Nigerians.

The national license status recognizes their systemic importance and subjects them to stricter oversight, including higher capital requirements (raised from previous levels) and mandatory geotagging of POS terminals for better transaction monitoring.

The decision comes amid ongoing reforms in Nigeria’s financial sector, where the CBN has been tightening regulations to reduce risks from rapid fintech growth. While the upgrade enhances operational flexibility, it also imposes greater accountability to prevent money laundering and ensure stability.

This development is expected to boost competition in the digital payments space, benefiting consumers with improved access to services. Further details on implementation will be monitored as the affected companies adjust to the new framework.


“The upgrade enhances digital banking amid positive forex trends such as the Naira appreciation to N1,490/$ in the parallel market.”