The Nigerian naira recorded further gains on Tuesday, October 7, 2025, appreciating across both official and parallel markets as improved foreign exchange (FX) liquidity and fresh interventions by the Central Bank of Nigeria (CBN) lifted market sentiment.
At the Nigerian Foreign Exchange Market (NFEM), the currency traded within a tight band of ₦1,464 to ₦1,466 per US dollar, according to data compiled from market trackers and financial outlets referencing CBN/NFEM rates. Some late-session reports placed the official rate slightly higher at ₦1,470.26/$, reflecting marginal variances in end-of-day calculations.
On the parallel market, popularly known as the black market, traders quoted the naira between ₦1,470 and ₦1,480 per dollar, narrowing the premium gap between official and informal segments.
Market analysts attributed the naira’s recovery to increased dollar inflows and sustained CBN liquidity operations through its matching platform, aimed at stabilising supply and ensuring smoother transactions.
“What we’re seeing is a combination of improved FX inflows and CBN’s continued presence in the market. Confidence is gradually returning,” a Lagos-based dealer said.
Key Market Indicators
NFEM/CBN Official Rate: ₦1,464–₦1,466 per US$
End-of-Day Official Series: ₦1,465.2 per US$
Alternative Official Report: ₦1,470.26 per US$
Parallel Market Rate: ₦1,470–₦1,480 per US$
Outlook: What to Watch
- CBN Liquidity Operations: Traders will monitor daily NFEM interventions and open market operations for signs of continued supply support.
- Parallel Market Premium: Analysts say the narrowing gap between the official and black-market rates may indicate that recent reforms are filtering down to retail FX users.
- External Drivers: Global dollar movements and Nigeria’s oil receipts are expected to remain key factors influencing short-term FX stability.
The naira’s strengthening comes amid a broader CBN effort to enhance transparency and liquidity within the FX market while aligning local dynamics with international currency trends.
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