The Nigerian naira traded within a relatively stable range against the United States dollar on Tuesday, July 21, 2026, across both the official Nigerian Foreign Exchange Market (NFEM) and the parallel market, as investors monitored foreign exchange liquidity ahead of the outcome of the Central Bank of Nigeria’s Monetary Policy Committee (MPC) meeting.
According to data published by the Central Bank of Nigeria (CBN), the naira exchanged at an average rate of ₦1,380.18/$ in the official market on the latest trading day, remaining broadly steady against the dollar.
In the parallel market, commonly referred to as the black market, the dollar traded between ₦1,410 and ₦1,425, with dealers buying the greenback at around ₦1,410/$ and selling at approximately ₦1,425/$, although rates varied slightly depending on location, dealer and transaction size.
The gap between the official and parallel market rates remained relatively narrow compared with previous years, reflecting improved liquidity in the formal foreign exchange market following the CBN’s ongoing reforms. However, sustained demand for dollars from importers, manufacturers and other businesses continued to exert pressure on the parallel market.
After the close of trading, the MPC announced that it had retained the Monetary Policy Rate (MPR), the country’s benchmark interest rate, at 26.5 per cent. The committee said the decision reflected its cautious assessment of domestic economic conditions and persistent global uncertainties, particularly geopolitical tensions in the Middle East and their potential impact on energy prices and inflation.
Market participants are expected to assess the implications of the MPC’s decision in subsequent trading sessions, with analysts watching for any impact on foreign exchange liquidity, investor sentiment and the naira’s performance.
