Naira Holds Firm as Dollar Trades at ₦1,455 in Official Market, ₦1,460–₦1,470 in Parallel Market

The Nigerian naira showed further stability on Friday, October 3, 2025, trading stronger in the official Nigerian Foreign Exchange Market (NFEM) while holding steady in the parallel (black) market.

According to NFEM data, the dollar traded at ₦1,455 per $1 on a volume-weighted basis. In the parallel market, rates hovered between ₦1,460 and ₦1,470, with most street and bureau de change trackers quoting around ₦1,460.

Market observers attributed the firmer naira to improved foreign exchange liquidity and sustained inflows in recent weeks, factors that have helped narrow the gap between official and parallel rates. Analysts also pointed to recent monetary policy easing by the Central Bank of Nigeria (CBN) as providing additional support.

While some commercial feeds reported rates closer to ₦1,470, traders noted that small intraday variations between official and parallel markets are normal due to differences in volumes and counterparties.

Why it matters: The reduced spread between official and parallel rates benefits importers, exporters, and foreign investors. A stronger naira in the NFEM lowers the cost of servicing foreign obligations for businesses, while stability in the black market eases cash management for households and small traders.

Outlook: Economists say the naira’s short-term performance will depend on sustained foreign inflows, oil revenues, and policy measures that deepen FX market liquidity. With inflation easing and recent CBN rate cuts, markets remain highly sensitive to updates on reserves, inflows, and fiscal policy.