Nigeria’s external reserves witnessed a reduction of $90 million over a five- day period, settling at $55.13 billion as of November 5, 2026, down from the $55.22 billion registered on October 30. Figures released by the Central Bank of Nigeria highlighted that this decrease equated to a 0.16 percent contraction in the nation's financial cushion during the evaluated timeframe.
This recent downward adjustment marks a shift away from the positive trajectory observed in October 2026, a month that closed with a $295.35 million expansion in the country's external buffers. External reserves act as a vital safeguard for the domestic foreign exchange market, equipping the monetary authority to fulfill international financial commitments and maintain currency stability.
How is the naira performing in the market?
Alongside the shift in reserves, foreign exchange market activity placed the Nigerian naira at an exchange rate of N1,346.80 per United States dollar as of November 6, 2026. Market observers noted that despite the short-term dip in external reserves, the local currency has maintained a year-on-year appreciation of 6.26 percent against the dollar when compared to its valuation over the preceding 12 months.