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Breaking: Dollar to Naira Exchange Rate Today, Feb. 4, 2026

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The Nigerian Naira maintained its steady stance against the United States Dollar during early trading on Wednesday, February 4, 2026. Following a resilient performance throughout the first few days of the month, the local currency continues to benefit from improved liquidity in the official window and a relatively calm parallel market.
Official Market Trends

In the Nigerian Foreign Exchange Market (NFEM), the Naira opened the session with a slight gain, positioned at approximately 1,387.42 per dollar. By mid-morning, the exchange rate showed minor fluctuations, with the dollar trading at 1,388.15.

This performance marks a continuation of the stability observed since the introduction of the Electronic Foreign Exchange Matching System (EFEMS), which has significantly improved price discovery and transparency. Financial analysts note that the current rate of 1,388.15 reflects the Central Bank of Nigeria’s (CBN) successful management of corporate demand and the clearance of historic foreign exchange backlogs. With external reserves remaining healthy, the official window has provided a more predictable environment for importers and international businesses.
Parallel Market Performance

The parallel market, commonly referred to as the black market, mirrored the stability seen in the official sector, though it continues to trade at a characteristic premium. In major commercial hubs like Lagos and Abuja, Bureau De Change operators are quoting the dollar between 1,460 and 1,475.

Despite the persistent gap between the two markets, the spread remains considerably narrower than the peaks witnessed in late 2025. Traders indicate that retail demand for personal travel and small-scale transactions is being comfortably met by current supply levels. The absence of aggressive speculative activity has played a vital role in preventing the sharp intraday spikes that historically characterized the informal market at the start of the year.
Summary of Trading Rates

NFEM (Official) Opening: 1,387.42
NFEM (Official) Current: 1,388.15
Parallel Market Range: 1,460 – 1,475

The broader outlook for the Naira remains cautiously optimistic. Analysts suggest that if crude oil production levels and foreign portfolio inflows remain steady, the currency is well-positioned to maintain its current range-bound stability throughout the first quarter of 2026. Investors and the public are keeping a close watch on the closing figures for the day, which will further define the market’s trajectory for the rest of the week.

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Sachet Alcohol Ban Suspended, Orders NAFDAC to Stop Enforcement Activities

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The Federal Government has ordered the National Agency for Food and Drug Administration and Control, NAFDAC, to immediately halt all enforcement actions regarding the ban on sachet alcohol and 200ml PET bottle products.

The offices of the Secretary to the Government of the Federation, OSGF, and National Security Adviser, ONSA, in a joint intervention, cited grave concerns over economic stability and potential security threats as reasons for the directive.

The statement warned that continued enforcement, in the absence of a fully implemented National Alcohol Policy, could “destabilize communities, worsen unemployment, and trigger avoidable security challenges”.

According to the statement signed by Terrence Kuanum, Special Adviser on Public Affairs to the SGF, the government clarified that while the National Alcohol Policy has been signed by the Federal Ministry of Health under the direction of President Bola Tinubu, NAFDAC must refrain from sealing factories or warehouses until the policy is fully operationalized.

The statement emphasized that the current “de facto banning” of the products without a harmonized framework is creating significant disruptions.

“The continued sealing of warehouses and de facto banning of sachet alcohol products is already creating economic disruptions and poses a growing security threat, particularly given the impact on employment, supply chains, and informal distribution networks across the country,” the statement warned.

The statement further revealed that the decision was influenced by a correspondence from the House of Representatives Committee on Food and Drugs Administration and Control, dated November 13, 2025.

The letter, signed by Deputy Chairman Uchenna Harris Okonkwo, highlighted existing National Assembly resolutions that cautioned against the proposed ban.

Reaffirming a previous suspension issued in December 2025, the statement stated the need to review legislative, public health and economic factors before a final decision is reached.

“Accordingly, all actions, decisions, or enforcement measures relating to the ongoing ban on sachet alcohol are to be suspended pending the final consultations and implementation of the National Alcohol Policy and the issuance of a final directive,” the statement emphasized.

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Naira Appreciate Against US Dollar in Continuum

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The naira continued appreciation against the United States dollar at the official foreign exchange on Tuesday.

Central Bank of Nigeria data showed that the Naira further firmed up to N 1,351.02 against the dollar on Tuesday, up from N 1,354.26 traded the previous day.

This means that on a day-to-day basis the Naira gained N3.24 against the dollar.

Similarly, at the black market, the Naira appreciated by N5 to N1450 per dollar, up from N1455.

The development comes as the apex in a notice signed by its director of the trade and exchange department, directing banks to sell a maximum of $150,000 per week to licensed Bureau De Change operators.
DAILY POST reports that the country’s external reserves remained high at $47.03 billion as of 6th February 2026.

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