Dollar to Naira Exchange Rate Today, January 5, 2026

The Nigerian Naira began the first full trading week of 2026 with mixed movements across official and unofficial foreign exchange markets. As of Monday morning, January 5, 2026, the local currency showed mild signs of recovery from its year-end position, although sustained demand for the US Dollar continues to weigh on its performance.

Official Market (NFEM) Update
At the Nigerian Foreign Exchange Market (NFEM), the Central Bank of Nigeria’s regulated trading window, the Naira is exchanging at an average rate of ₦1,441.85 per US Dollar.

Early trading hours were marked by volatility, with the exchange rate touching a low of ₦1,437.10 before settling near the current level. Analysts say liquidity availability at the official window remains a major determinant of pricing, as authorities press on with policies aimed at harmonising exchange rates.

Parallel Market Trends
In the parallel, or black market, the Dollar continues to command a premium over the official rate. Bureau De Change operators and street traders in key cities such as Lagos, Abuja and Kano are currently quoting the Dollar between ₦1,455 and ₦1,465, depending on transaction size and location.

Market watchers note that the gap between the official and parallel rates has narrowed slightly in recent weeks, suggesting gradual convergence supported by tighter monetary controls.

Drivers of Current Exchange Movements
The renewed volatility is largely linked to the resumption of full economic activities after the festive break. Increased foreign exchange demand from manufacturers and importers restocking for the first quarter of 2026 has put upward pressure on the Dollar. At the same time, investors remain attentive to the Central Bank’s foreign reserve position and any potential market interventions to boost liquidity.

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