Pressure on the foreign exchange market persisted as the naira recorded fresh depreciation across both the official and parallel segments, reflecting continued strain on dollar supply.
At the parallel market, the local currency weakened to N1,492 per dollar, compared with N1,485 per dollar recorded on Tuesday. The movement underscores sustained demand for foreign currency outside official channels.
Similarly, activity at the Nigerian Foreign Exchange Market (NFEM) showed a slight depreciation of the naira. Data released by the Central Bank of Nigeria (CBN) indicated that the exchange rate closed at N1,458.02 per dollar, marginally weaker than N1,457 per dollar in the previous trading session. This represents a depreciation of N1.02 at the official window.
As a result of these movements, the spread between the parallel market rate and the official exchange rate widened further. The margin rose to N31.98 per dollar, up from N28 per dollar recorded on Tuesday, highlighting growing divergence between the two markets.
Market watchers note that the widening gap may continue to influence pricing, inflation expectations, and investor sentiment, as authorities work to stabilise the currency amid ongoing foreign exchange challenges.