Naira’s Position in the Market: CBN Exchange Rate Movements Explained

Nigeria’s foreign exchange market continues to show gradual changes as the Naira adjusts to both local and global economic pressures. According to the Central Bank of Nigeria (CBN), exchange rates as of August 25, 2025, reflect a mixed performance: some currencies gained slightly against the Naira, while others lost ground.

Among the notable movements, the Danish Krone (DKK) posted the largest daily gain, while the West African CFA Franc (XOF) recorded the sharpest decline both daily and weekly. These shifts may seem minor on the surface, but they highlight ongoing trends—such as the strengthening of European currencies and the continued vulnerability of regional currencies like the CFA Franc.

The Swiss Franc (CHF) also stood out, gaining over ₦15 within a week, suggesting growing investor confidence in safe-haven currencies amid global uncertainty. Meanwhile, the Naira held relatively steady against the US Dollar, showing only a 0.09% daily change, which could indicate short-term market stability.

CBN Exchange Rates – 25/08/2025

CurrencySell Rate (₦)Buy Rate (₦)Daily Change (%)
USD (US Dollar)₦1,536.42₦1,535.42+0.09%
EUR (Euro)₦1,797.62₦1,796.45+0.88%
GBP (British Pound)₦2,075.71₦2,074.36+0.69%
ZAR (South African Rand)₦87.42₦87.36+0.44%
RMB (Chinese Yuan)₦214.83₦214.69+0.49%
JPY (Japanese Yen)₦10.42₦10.42+0.83%
XOF (West African CFA Franc)₦2.72₦2.70-0.32%
SAR (Saudi Riyal)₦409.48₦409.22+0.11%
WAUA (West African Unit of Account)₦2,092.47₦2,091.10-0.27%
CHF (Swiss Franc)₦1,913.83₦1,912.59+0.79%
DKK (Danish Krone)₦240.80₦240.64+0.88%

Today’s Key Movements

  • Top Daily Gainer:
    The Danish Krone (DKK) appreciated by ₦2.11 to reach ₦240.80. This 0.88% daily gain shows increasing strength among minor European currencies, likely tied to investor shifts into less-volatile assets.
  • Top Daily Loser:
    The West African CFA Franc (XOF) weakened again, falling by ₦0.0086 to ₦2.72. This decline may signal pressure on West African economies with high dependency on imports and external financing.

Weekly Performance (18/08/2025 – 25/08/2025)

  • Top Weekly Gainer:
    The Swiss Franc (CHF) gained ₦15.72 over the last week, rising from ₦1,898.11 to ₦1,913.83. Known as a global safe-haven currency, the Franc’s rise reflects broader trends in capital flow toward stable currencies.
  • Top Weekly Loser:

The West African CFA Franc (XOF) recorded the steepest fall for the week, slipping from ₦2.73 to ₦2.72, a 0.52% decline. This continued slide may indicate structural weaknesses in regional economies or a stronger Naira base for now.

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V Kumar

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