Daily FX Update: Naira Falls to N1,495 in Parallel Market
The Nigerian naira exchange rate worsened in the informal sector, or parallel market, during the early hours on Tuesday due to rising demand pressures from users.
According to channel checks in Lagos and Abuja, the local currency depreciates by N10 to N1,495 per dollar in the informal segment, widening fx spread in the foreign exchange market.
According to fx data reviewed by MarketForces Africa, the exchange rate gap between the official and the parallel market quotes has risen to N72, creating fresh arbitrage risks in post-reform market development.
In the official market, the naira closed at N1423 per dollar on Monday, helped by the Central Bank of Nigeria (CBN) FX intervention sales to banks last week Friday. The local currency traded with very limited volatility during the day’s session, reflecting the tight range of trading activities.
The CBN injected $50 million into the official window, without similar support at the informal segment. The one-sided exchange rate improvement widened fx spread as the year-end dollar transfer experienced in the black market fizzled out.
The authority injected dollars to soften demand pressures after FX inflows slipped by 2% to $2.8 billion in December, marking the weakest monthly inflow of 2025, according to TrustBanc Financial Group Limited.
The firm reported that the CBN dollar sales jumped to $654 million at the official window, accounting for about 23% of total FX supply.
Meanwhile, foreign portfolio investment (FPI) inflows fell 14% to $632 million, remaining well below prior peaks and limiting offshore FX support. The firm said corporate inflows dropped 30%, while domestic flows improved. NCR Hits Record High Fuels by Sentiment-Driven Rally
