Nigeria’s currency posted mixed results on Thursday, appreciating at the official foreign exchange market while weakening marginally in the parallel market, highlighting the continued divergence between the country’s formal and informal FX markets.
At the Nigerian Foreign Exchange Market (NAFEM), the naira strengthened by 0.51 percent against the US dollar. Data released by the Central Bank of Nigeria (CBN) showed the currency closed at ₦1,369.00/$1 on July 1, improving from ₦1,376.00/$1 recorded a day earlier, a gain of ₦7.00.
The stronger official exchange rate reflects continued stability in the regulated market, where the CBN has maintained a market-driven pricing framework backed by periodic interventions and improving foreign exchange liquidity.
The picture was less positive in the parallel market, where the naira weakened slightly against the dollar. Bureau de Change operators quoted the currency at ₦1,395.00/$1 on Thursday, compared with ₦1,390.00/$1 the previous day, representing a depreciation of ₦5.00, or 0.36 percent.
The difference between the official and parallel market rates leaves the dollar trading at a premium of roughly ₦26 in the informal market, underscoring the persistence of demand outside official channels despite reforms aimed at improving liquidity and narrowing exchange rate distortions.
Performance against other major currencies in the parallel market was relatively stable. The British pound traded at ₦1,852.50/£1, strengthening marginally from ₦1,854.00/£1, while the euro appreciated slightly to ₦1,580.00/€1 from ₦1,581.00/€1.
The most notable movement came against the Canadian dollar, where the naira weakened sharply to ₦1,055.00/CAD, compared with ₦1,005.00/CAD previously.
Meanwhile, Nigeria’s external reserves continued to edge higher, providing additional support for foreign exchange market confidence. The country’s reserves rose to $51.459 billion as of June 30, 2026, from $51.430 billion on June 29, extending the recent upward trend.
