In the Nigerian Foreign Exchange Market (NFEM), the local currency traded around an average of ₦1,345.47 to the US dollar during early trading hours. The figure reflects a slight appreciation compared to the previous session’s close, with intraday movement briefly touching ₦1,345.87 before settling as trading progressed. Market activity was described as steady, supported by consistent liquidity flows and sustained interbank transactions.
The relative stability at the official window continues to be linked to ongoing interventions aimed at improving transparency in price discovery and ensuring adequate foreign exchange supply for eligible demand. Market operators note that these measures have contributed to reduced volatility and a more predictable trading environment in recent sessions.
At the parallel market level, conditions have largely mirrored the calmer tone observed in official trading. Across key commercial centres such as Lagos, Port Harcourt, and Kano, the dollar exchanged within a range of approximately ₦1,390 to ₦1,405. While a premium persists between official and informal markets, traders report that fluctuations have become less erratic compared to earlier periods, offering some relief to importers and retail currency users who depend on the informal segment.
Financial analysts attribute the improved sentiment to a combination of factors, including expectations of stronger foreign portfolio inflows and relatively supportive external reserve conditions. These dynamics, they argue, are gradually reinforcing confidence in the currency market and contributing to the ongoing convergence narrative being pursued by monetary authorities.
The Central Bank’s broader strategy of managing liquidity while encouraging a more unified exchange rate structure remains central to current market developments. Observers suggest that sustained inflows and disciplined market operations will be key to maintaining the present trajectory.
For businesses and consumers, the latest trading levels signal a period of cautious stability. Although external pressures, including the global strength of the US dollar, continue to influence sentiment, the domestic FX market appears to be entering a phase of consolidation that could support more predictable planning in the weeks ahead.