The naira depreciated at the official foreign exchange market, closing at ₦1,346.32 per dollar as increased demand pressure weighed on the local currency. Data published by the Central Bank of Nigeria (CBN) showed that the exchange rate at the Nigerian Autonomous Foreign Exchange Market (NAFEM) declined by 0.37 percent from ₦1,341.35/$ recorded in the previous trading session.
The naira has now recorded three consecutive sessions of pullback, indicating a moderation in earlier appreciation momentum as foreign currency demand strengthened.
Intraday trading activity revealed fluctuations between a low of ₦1,343/$ and a high of ₦1,349/$, reflecting heightened demand for foreign payments relative to available supply.
In contrast, the parallel market presented a different trajectory. According to Cowry Asset Limited, the naira appreciated marginally by 0.19 percent to close at ₦1,333 per dollar in the informal market segment.
The divergence between the official and parallel markets comes amid policy adjustments by monetary authorities. The informal segment has witnessed steady naira strengthening following the announcement of weekly foreign exchange sales of $150,000 to licensed Bureau de Change operators.
Nigeria’s gross external reserves remain on an upward path, sustaining levels above $48 billion despite ongoing volatility in the global commodity market.
In the international oil market, prices hovered near six-month highs. Brent crude traded above $72 per barrel, while U.S. West Texas Intermediate rose to approximately $67 per barrel. Markets reacted to geopolitical developments, particularly speculation that any potential U.S. military action against Iran may be delayed.
The global foreign exchange market reflected a generally stronger U.S. dollar performance against major G10 currencies during the week. The Japanese yen recorded the weakest performance, declining by nearly 1.65 percent. The Australian dollar posted comparatively stronger results, though it remained down by roughly 0.3 percent for the week.
Among emerging market currencies, mixed outcomes were observed. The Argentine peso gained approximately 0.6 percent, the Russian ruble advanced by about 0.2 percent, while the Brazilian real strengthened modestly by 0.15 percent.
