The Nigerian naira is the official currency of Nigeria, introduced in 1973 to replace the pound. It is abbreviated as NGN and is subdivided into 100 kobo. The naira is issued by the Central Bank of Nigeria and is used for all transactions within the country. The value of the naira can fluctuate due to various economic factors, including inflation and changes in oil prices, as Nigeria is a major oil producer. The currency is essential for everyday purchases, savings, and business operations in the nation.