Naira maintains gains as dollar supply improves

The naira traded around ₦1,444 to the US dollar in Nigeria’s official Daily Nigerian Foreign Exchange Market (NFEM) on Tuesday, while the parallel market quoted the greenback between ₦1,435 and ₦1,450.

The rates marked a largely stable session following recent policy measures by the Central Bank of Nigeria (CBN).

According to market data, the NFEM volume-weighted average price (VWAP)** stood at ₦1,444 per US$1, while street dealers in Lagos and Abuja offered to buy dollars at about ₦1,435 and sell around ₦1,450.

The NFEM rate, published daily by the CBN, serves as the benchmark for official and wholesale foreign-exchange transactions. In contrast, the parallel market caters mainly to retail cash buyers and typically trades at a small premium to the official rate.

Market analysts said the naira’s recent stability reflects continued CBN interventions and improved foreign inflows. “Dollar liquidity has been more consistent in recent weeks, and that’s helping to ease pressure on the currency,” one Lagos-based dealer told reporters.

After months of volatility through 2024 and early 2025, the currency has steadied as the central bank’s dollar sales and a gradual loosening of monetary policy helped restore market confidence.

However, traders say inflation and fluctuations in global oil prices remain key risk factors for the exchange rate.

At the current NFEM rate, US$100 costs about ₦144,400, while the same amount on the parallel market ranges between ₦143,500 and ₦145,000, depending on the dealer.

Businesses and importers are advised to continue sourcing foreign exchange through authorised channels such as the NFEM, FMDQ, or CBN windows to avoid premium costs and compliance risks.