The naira exchanged at ₦1,540 per dollar in the parallel market on Wednesday, marking a slight depreciation from ₦1,537 per dollar the previous day.
However, in the Nigerian Foreign Exchange Market, the local currency recorded gains, strengthening to ₦1,522 per dollar.
According to data published by the Central Bank of Nigeria, the naira appreciated by ₦3.45 in the official window, moving from ₦1,525.45 per dollar on Tuesday to ₦1,522 per dollar on Wednesday.
This improvement underscores the bank’s continued effort to stabilize the exchange rate despite fluctuations in other market segments.
The contrasting outcomes between the official and parallel markets highlight the persistent volatility in Nigeria’s foreign exchange system.
While demand pressure in the parallel market pushed the rate upward, interventions at the NFEM ensured modest appreciation for the naira.
As a result, the margin between the two markets widened further, increasing from ₦11.55 per dollar on Tuesday to ₦18 per dollar on Wednesday.
Analysts warn that this widening gap could intensify arbitrage practices and complicate efforts to unify exchange rates across different windows.
Looking ahead, economic experts stress that the sustainability of the naira’s performance will depend on consistent foreign inflows, effective policy measures, and investor confidence.
With the CBN pushing forward with reforms, stakeholders are watching closely to see if these steps can narrow the gap and bring long-term stability to the foreign exchange market.