Data from the Nigerian Foreign Exchange Market (NFEM) shows that the naira traded at approximately ₦1,363.41 per US dollar during Monday’s trading session, reflecting continued movement in Nigeria’s official foreign exchange market.
At the prevailing rates, $100 exchanges for about ₦136,341 at the official NFEM rate, while the same amount goes for roughly ₦140,000 in the parallel market, highlighting a relatively small gap between both segments of the forex market.
The narrowing difference between official and black-market rates marks a significant shift compared to previous years, when disparities were much wider. This development is largely attributed to ongoing foreign exchange reforms introduced by the Central Bank of Nigeria (CBN), aimed at improving liquidity, transparency, and efficiency in the market.
The reforms are also designed to deepen participation in the foreign exchange system and reduce distortions that previously encouraged arbitrage activities between official and parallel markets.
Analysts say the naira’s outlook in the coming weeks will depend on several key factors, including foreign exchange inflows, crude oil export earnings, diaspora remittances, and the direction of monetary policy set by the Central Bank of Nigeria.
They note that sustained improvements in dollar supply and stable oil revenue could help support the naira, while weaker inflows may renew pressure on the currency.
