March 2026 told a different story for the Naira, as renewed pressure weakened its momentum.
The Naira closed at ₦1,387/$ on March 31, 2026, according to the Central Bank of Nigeria.
March Pressure Weighs On The Naira
This outcome marked a setback after February’s gains and highlighted ongoing volatility in the market.
February Gains Give Brief Relief
In February, the Naira showed brief stability.
It opened at ₦1,367/$ and strengthened to ₦1,340/$ by mid-month.
As a result, the currency signalled early signs of recovery after earlier fluctuations.
However, March reversed this progress quickly.
The Naira opened around ₦1,376/$, but external pressures weakened it.
By March 9, the currency fell to ₦1,425/$, its weakest level in six weeks, according to newsmen.
Geopolitical tensions and a stronger US dollar drove this decline.
Volatility And Reserve Pressures Persist
Rather than recording a sharp fall, the Naira fluctuated steadily within a narrow range.
It moved between ₦1,362/$ and ₦1,391/$ before closing at ₦1,387/$.
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Consequently, this pattern showed gradual depreciation and highlighted uncertainty in the foreign exchange market.
Meanwhile, Nigeria’s foreign reserves declined and reflected external pressure.
They dropped from $50.03 billion on March 11 to $49.29 billion on March 30, a fall of about $547 million.
In addition, the Naira continues to respond to global oil prices, dollar strength, and foreign inflows.
These factors shape its performance and create unpredictable movements.
Sam Ogbaraku of Kwik Securities Ltd explained that importers face higher costs, which raise consumer prices.
In contrast, exporters gain from stronger local earnings when they convert foreign revenue.
However, volatility makes planning and investment decisions more difficult for businesses.
Despite March’s challenges, February showed early signs of recovery.
Governor of the Central Bank of Nigeria, Olayemi Cardoso, reported that reserves reached $50.45 billion.
Furthermore, the Central Bank of Nigeria continues reforms to strengthen confidence and improve liquidity.
Its 2026 outlook projects reserves could rise to $51.04 billion, supported by oil revenues.
Still, the Naira’s path remains uncertain and fragile.
