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Naira Appreciates to N1,400/$ in Parallel Market
🇳🇬 Nigeria /Economy & Trade

Naira Appreciates to N1,400/$ in Parallel Market

From Vanguard · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Documents & data Context piece
  • The Nigerian Naira appreciated against the dollar in the parallel market, trading at N1,400/$ from N1,405/$.
  • In the official Nigerian Foreign Exchange Market (NFEM), the Naira remained stable at N1,379 per dollar.
  • The gap between the parallel and official exchange rates narrowed, while interbank turnover at the NFEM saw a significant increase.

The Nigerian Naira experienced an appreciation in the parallel market, moving from N1,405 to N1,400 against the US dollar on Tuesday and Wednesday, respectively. This shift indicates a strengthening of the local currency in unofficial trading channels.

Conversely, the Naira held steady at N1,379 per dollar in the official Nigerian Foreign Exchange Market (NFEM). Data from the Central Bank of Nigeria (CBN) confirmed this stability, showing the indicative exchange rate remained unchanged. This divergence between the parallel and official rates has resulted in a narrowed gap, decreasing from N26 to N21 per dollar between Tuesday and Wednesday.

Further activity in the NFEM saw a substantial rise in interbank turnover. The volume of transactions increased by 398.8 percent, climbing to N208 million on Wednesday from N41.7 million recorded on Tuesday. This surge in turnover suggests increased liquidity and trading activity within the official foreign exchange market.

DistantNews Editorial

Originally published by Vanguard in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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