Nigeria’s FX Market Inflows Drop 26% on CBN 6-Week Zero Supply
US dollar inflows into Nigeria’s foreign exchange market declined by more than 26% to $689 million due to the absence of a Central Bank FX injection for the past six weeks.
The market saw a shift in contribution among key suppliers amidst increased demand for foreign payments in Nigeria’s foreign exchange market (NFEM).
According to Coronation Research, exporters accounted for the largest share of official FX inflows. Exporters contributed 43.30% or US$298.30 million of total FX inflows, followed by foreign portfolio investors (FPIs) at 39.26% or US$270.50 million.
Non-bank corporates contributed 14.36% or US$98.90 million, while other corporates accounted for 1.87% or US$12.90 million, with other sources contributing the remaining 1.21%.
Notably, there were no FX inflows from the CBN for the sixth consecutive week, underscoring the increasing role of autonomous sources in supporting market liquidity.
The Naira weakened marginally at the NFEM window during the week, depreciating by 0.48% w/w to close at N1,370.46/US$1, compared with N1,363.83/US$1 in the preceding week.
The local currency commenced the week on a positive note, appreciating by 0.56% to N1,356.27/US$1, before reversing earlier gains amid relatively weaker FX supply conditions.
In the parallel market, the Naira strengthened by 0.36% week on week to N1,400.00/US$1 from N1,405.00/US$1 recorded in the previous week.
Consequently, the parallel market premium narrowed to 2.16%, down from 3.02% a week earlier, reflecting improved price convergence across market segments.
On the external front, Nigeria’s gross foreign exchange reserves increased by 1.05% week on week or US$529.71 million, to US$51.04 billion as of June 18, 2026, providing continued support for external buffers.
Analysts at Coronation Research expect the Naira to remain broadly stable in the near term, underpinned by robust autonomous FX and portfolio inflows. CBN to Open N1trn Treasury Bills for Subscription on Wednesday
