Nigeria’s foreign exchange (FX) market gained momentum in 2025, recording an average monthly turnover of $8.6 billion, according to the Central Bank of Nigeria (CBN).

The rise reflects renewed investor confidence and signals some relief for the naira after years of pressure from FX shortages and speculative trading.

CBN Deputy Governor for Economic Policy, Mohammed Sani Abdullahi, disclosed the figures on Wednesday during an investors’ forum held on the sidelines of the IMF/World Bank Annual Meetings in Washington, D.C.

He attributed the improvement to ongoing reforms aimed at boosting liquidity, enhancing transparency, and rebuilding external reserves.

“Over the last two years, we have placed strong emphasis on improving foreign exchange inflows into the economy, and as a result, we’ve seen a significant jump,” Abdullahi stated.

He explained that the official FX window has become more liquid following the introduction of an order-based quotation system, stronger diaspora remittance inflows, and the clearance of FX backlogs and outstanding obligations.

“There’s been a significant increase in the average monthly turnover to $8.6 billion in 2025, compared to $5.5 billion in the previous year,” Abdullahi said. “Today, the CBN is a net buyer in the market, supplying less than one percent of total turnover.”

According to him, the central bank is rebuilding external reserves to strengthen the country’s resilience to global economic shocks. He described the evolving FX market as “an active and ethical marketplace” operating with greater transparency and integrity.

Abdullahi also announced ongoing collaboration between the CBN, the Securities and Exchange Commission (SEC), and the National Pension Commission (PenCom) to reform the secondary market by creating more investable instruments, deepening market participation, and reinforcing ethical standards.

He emphasized that Nigeria now has “deeper, more functional, and transparent financial markets” capable of supporting sustainable economic growth.

Financial analysts say the surge in FX turnover and the reduction in CBN’s market intervention could help stabilize the naira, attract more foreign portfolio investments, and strengthen investor confidence, setting the stage for a stronger macroeconomic outlook in 2026.