However, the local currency posted a marginal decline in the official Nigerian Foreign Exchange Market (NFEM), where it depreciated to ₦1,438.50 per dollar from ₦1,437.50 the previous day, according to data published by the Central Bank of Nigeria (CBN).
This represents a ₦1 depreciation in the official window, even as street traders reported slight gains.
The development narrowed the exchange rate gap between the official and parallel markets to ₦17.50 per dollar, compared with ₦22.50 per dollar on Thursday — a sign of mild convergence in the two rates.
For the week, the naira weakened by 50 kobo in the official market and by ₦1 in the parallel market, reflecting ongoing volatility amid mixed demand pressures.
Analysts say the currency’s movement underscores the market’s reaction to liquidity dynamics, including inflows from exporters and remittances, as well as lingering concerns about foreign exchange supply.
The CBN has continued to emphasize its commitment to stabilizing the foreign exchange market through policy alignment and increased transparency, even as traders watch for further signals on rate direction in the coming week.