Trading in Nigeria’s foreign exchange market opened on Thursday with the naira relatively stable against the United States dollar across the official and parallel markets.
At the Nigerian Foreign Exchange Market (NFEM), the naira traded at approximately ₦1,346.05 per dollar, with moderate intraday fluctuations as banks and corporate entities executed transactions for international trade, import payments and capital remittances.
The exchange rate remained within a narrow range amid efforts by the Central Bank of Nigeria (CBN) to improve foreign exchange liquidity and ease demand pressures.
In the parallel market, also known as the black market, Bureau De Change operators and currency dealers in major cities, including Lagos, Abuja and Kano, quoted buying rates of around ₦1,375 per dollar and selling rates of approximately ₦1,385 per dollar.
The difference between the official and parallel market rates remained relatively narrow, reflecting the reported stability across the two segments of the foreign exchange market.
Market analysts attributed the relative stability to improved foreign exchange supply, supported by oil export earnings and diaspora remittances. The reported level of the country’s external reserves was also cited as a factor supporting market confidence.
Market participants expect exchange rate movements to depend on the balance between foreign currency supply and demand, as well as developments in external inflows and the CBN’s foreign exchange management measures throughout the trading session.
