MARKET NEWS

With the recent positive performance of the naira, analysts say the financial markets have responded positively to the Financial Action Task Force (FATF) removal of Nigeria from its grey list of countries with money laundering and terrorist financing risks.
The naira hit a 10-month high of N1,444.42/$ at the official markets last Wednesday while closing the month at N1, 1422/$, according to the Nigeria Foreign Exchange Market (NFEM) data released by the Central Bank of Nigeria (CBN) as more dollar holders offload their positions.
The recent CBN reforms in the financial markets are tipped as major considerations driving the positive market sentiments and expected investment inflows to the domestic economy.

The naira is recording strong gains following last week’s exit of Nigeria from the Financial Action Task Force (FATF) grey list.

For several stakeholders, especially bank customers, the country is expected to witness an influx of investment associated with improved business trust and confidence, make foreign bank account opening easier for businesses and support the naira’s rising competitiveness in global markets.
Already, the naira has continued to record significant gains, appreciating to record N1,465/$ at the parallel markets.
The sustained appreciation of the local currency has been supported by improved market liquidity and renewed optimism in the economy, leading to rising capital inflows and stronger external reserves.

The naira position represents a gain of N216.70 or about 15 percent compared to the N1,661.12 per dollar recorded in December 2024, when trading commenced on the Electronic Foreign Exchange Matching System (EFEMS).
On a day-to-day basis, the naira strengthened by 0.3 per cent, appreciating from N1,448.20 per dollar on Tuesday to N1,444.42 on Wednesday, according to data from the Central Bank of Nigeria (CBN).

The gross foreign reserves also hit $43.10 billion on October 28, 2025, significantly supporting the local currency.
President, Association of Bureaux De Change Operators of Nigeria (ABCON), Dr. Aminu Gwadabe, said: “The recent announcement of the Financial Action Task Force on the Exit of Nigeria from its Grey list known as Dirty money list on Friday the 24th of October 2025 as a result of Nigeria’s preparedness on remediating their 40 recommendations have tremendously induced confidence, and removed tension in the market”.
“The impacts reflecting plausibly as naira appreciate against dollars with N10/$,” he added.