Nigeria’s currency, the naira, slipped again on Monday — dropping by about one percent against the U.S. dollar in the official foreign exchange market.
This latest slide follows threats from former U.S. President Donald Trump, who claimed he had directed the Pentagon to prepare for possible action against Nigeria over alleged religious persecution — a statement that has since rattled investors and markets.
According to data from the Central Bank of Nigeria, the naira fell by ₦14.61, closing at ₦1,436.34 to the dollar, down from ₦1,421.73 recorded on Friday.
Interestingly, the story was slightly different on the parallel market, where the naira actually gained about one percent, closing stronger at ₦1,440 to the dollar, compared to ₦1,455 just days earlier.
Nigeria’s external reserves also saw a mild uptick, rising to $43.19 billion as of October 31, according to the CBN.
Meanwhile, Nigeria’s dollar-denominated bonds were among the worst performers in emerging markets on Monday, as investors reacted to Trump’s statement. Bloomberg reports that the country’s 2047 bond dropped as much as 0.6 cents on the dollar before easing slightly.
Reacting to the development, President Bola Tinubu dismissed Trump’s comments, describing them as “unfortunate” and saying they ignore the Nigerian government’s continued efforts to protect freedom of religion and belief for all citizens.
Bloomberg adds that the naira’s intraday loss — about 1.2 percent to ₦1,442.80 per dollar — was the currency’s sharpest single-day decline since June, and the weakest performance among emerging market currencies on Monday.
Analysts say market confidence could remain shaky in the short term as global attention shifts to how Nigeria manages both its diplomatic tensions and foreign exchange stability.
