Exchange Rates Gap Collapses as Naira Rallies Versus Dollar
The Nigerian naira exchange rates gap has collapsed sharply as the local currency maintained an uptrend against the dominant US dollar.
The dollar index declined on Tuesday as the market anticipates the US Federal Reserve to cut rates after a weak job report. In the local currency market, the naira has enjoyed successive rallies in the absence of significant demand for foreign currency by Nigerian companies and other eligible FX users.
The naira debit card alternative has also helped the exchange rate at the unofficial market gain traction, with the US dollar trading at N1515 on Tuesday, according to a channel check conducted by MarketForces Africa.
At the official window, the Central Bank of Nigeria (CBN), the naira was quoted at N1506.0850, from 1,506.8433 on Tuesday after it tested an intraday high of N1509.5000.
The CBN’s FX update showed that the naira strengthened by 0.05% to ₦1,506.08 per US dollar, fuelled by robust naira demand and reduced speculative trading.
The spot FX rate hit N1497 during the trading session, the lowest in 2025, signaling an absence of US dollar demand pressures.
Similarly, the naira appreciated by 0.61% in the parallel market to close at an average of ₦1,515 to the greenback, leaving the gap between the two rates below N10. #Exchange Rates Gap Collapses as Naira Rallies Versus Dollar No Subsidy in Oil, Gas Sector – NMDPRA