The Nigerian Naira experienced a significant depreciation against the US dollar across various foreign exchange markets, concluding Thursday's trading session on a negative trajectory. Data released by the Central Bank of Nigeria (CBN) revealed a notable weakening of the Naira, which closed at N1,353.91 to the dollar on Thursday. This figure represents a decline from the N1,348.45 recorded on Wednesday, indicating a substantial daily drop of N5.46 for the local currency in the official foreign exchange market.

Mirroring this downward trend, the parallel market also saw a weakening of the Naira. According to Abubakar Hassan, a Bureau De Change operator in Wuse Zone 4, Abuja, the Naira exchanged for N1,426 against the dollar on Thursday, an increase from the N1,400 rate observed on Wednesday. This consistent depreciation across both official and parallel foreign exchange markets effectively reversed the gains that the Nigerian currency had managed to achieve on Wednesday.

This recent development in the foreign exchange landscape is primarily attributed to the persistent decline in the country's external reserves. As reported by the apex bank, Nigeria's external reserves had fallen to N48.48 billion as of March 22nd, 2026. The continuous depletion of these reserves has exerted considerable pressure on the Naira, contributing to its ongoing depreciation against major international currencies, particularly the US dollar.