Naira Holds Steady as Dollar Trades Above ₦1,400 in Parallel Market

(Naira to Dollar. Photo by Nairacompare)

The naira traded at around ₦1,362.55 per dollar on the Nigerian Foreign Exchange Market (NFEM) as the official market remained relatively stable at the start of the new trading day.

According to data published by the Central Bank of Nigeria, the official exchange rate closed at ₦1,362.55/$1 on August 4, with intraday trading ranging between ₦1,361 and ₦1,364.70.

The NFEM rate, calculated using a volume-weighted average, serves as the country's official benchmark.

In the parallel market, commonly known as the black market, the dollar was quoted at about ₦1,415/$1 on Wednesday, according to market updates from a currency tracking platform.

This puts the gap between the official and parallel market rates at roughly ₦52 per dollar, an indication that demand for foreign currency in the informal market continues to outpace supply, despite the relative calm in the official window.

Other street-market trackers showed dealers buying dollars at around ₦1,410 and selling near ₦1,425, suggesting rates may vary slightly across Lagos and other major trading hubs depending on transaction size and location.

Market analysts say the naira has remained broadly range-bound in recent sessions, supported by continued central bank interventions and improved liquidity in the official market.

It was reported that Nigeria's currency has been trading within a relatively narrow band, even as demand from importers and other dollar users persists.

Compared to levels seen earlier in July, the official exchange rate has held close to the ₦1,360 ₦1,365 range, while the parallel market has fluctuated around ₦1,405–₦1,425.

For individuals and businesses carrying out dollar transactions today, the applicable rates stand at approximately ₦1,362.55/$1 at the NFEM and ₦1,415/$1 in the parallel market, though actual buy and sell prices may differ slightly across banks, bureaux de change and street dealers.