Naira Posts First Annual Gain Since 2012, Closes 2025 at N1,429/$1

The Nigerian naira ended 2025 on a stronger note, closing at N1,429 to the U.S. dollar on December 31, marking a 7.4% appreciation from the N1,535/$1 recorded on the last trading day of 2024.

Data from the Central Bank of Nigeria (CBN) confirmed the year-end performance, highlighting the naira’s first annual gain in over a decade. The 2025 appreciation mirrors the currency’s last positive annual movement in 2012, when it strengthened slightly to N157.29 from N158.99 in 2011.

Analysts attribute the naira’s improved performance to a combination of tighter monetary policies, improved foreign exchange inflows, and increased investor confidence in Nigeria’s economic management. The Central Bank has maintained efforts to stabilise the currency, balancing demand and supply in the foreign exchange market throughout the year.

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The stronger naira is expected to support reduced import costs, moderate inflationary pressures, and boost consumer purchasing power. Market observers note that sustaining this trend will depend on continued fiscal discipline, robust forex inflows, and effective monetary interventions.

The 2025 gain signals a milestone for the Nigerian currency, offering optimism for businesses, investors, and policymakers as the country moves into 2026.