Naira Gains in Parallel Market, Hits N1,725/$ as Official Rate Weakens

The Naira has appreciated in the parallel market, strengthening to N1,725 per dollar as of yesterday, up from N1,735 per dollar just last Friday. However, the official Nigerian Autonomous Foreign Exchange Market (NAFEM) reflected a different trend, with the Naira weakening to N1,676.9 per dollar, compared to N1,666.72 per dollar the previous week—a decline of N10.18.

Data from the Financial Markets Dealers Quotations (FMDQ) platform also highlighted a drop in dollar trading volume on the official market, where turnover fell 15.6 percent to $79.47 million from $94.2 million the previous Friday.

This latest shift has narrowed the gap between the parallel market and the official NAFEM rate, reducing the margin to N48.1 per dollar, down from N68.28 per dollar last weekend.