Naira Holds Steady in Mid-₦1,400s on Official Market, Trades Higher on Parallel Market
The naira traded in the mid-₦1,400 range on the official Nigerian Foreign Exchange Market (NFEM) on Friday, while the parallel (black) market continued to value the U.S. dollar higher — around ₦1,480 to ₦1,500 per dollar. This keeps the gap between both markets at roughly ₦25 to ₦40.
Key Exchange Rates (as of Friday):
Official NFEM (VWAP/CBN rate): ₦1,470–₦1,475 per $1
Central Bank/Interbank range: ₦1,460–₦1,475 per $1
Parallel/Black Market (AbokiFX trackers): ₦1,480–₦1,500 per $1
Why the Gap Persists
Currency dealers and market analysts say the naira’s performance reflects tight dollar supply at official windows despite fluctuating demand from importers and portfolio investors. Reports indicate that limited dollar inflows from the Central Bank of Nigeria (CBN) and continued asset sell-offs by foreign investors have added short-term pressure on the local currency.
Read Also;
Dollar to Naira exchange rate today, October 16, 2025
Impact on the Economy
Importers and Businesses: The higher parallel rate increases costs for companies sourcing dollars outside the official window.
Remittances: Those receiving money through informal channels may get slightly better rates but face higher volatility.
Consumers: The persistent spread between both markets continues to fuel inflationary pressure on imported goods and dollar-linked services.
Despite these pressures, traders say the naira has shown relative stability in recent sessions, though market watchers warn that sustained supply constraints could reignite volatility in the coming weeks.
