Naira-and-Dollars (2) (1).webp
The naira slightly appreciated on Monday, trading at N1,581.48 per dollar at NAFEM, up from Friday’s N1,586.19, thanks to inflows from foreign portfolio investors and corporates, even as overall liquidity dropped.
  • Naira strengthened by N4.71 at NAFEM and improved by N10 to N1,615/$1 in the parallel market.
  • Dollar inflows fell to $1.04 billion from $4.42 billion the previous week.
  • FPIs and non-bank corporates led inflows, contributing 32% and 29%, respectively.
  • CBN and exporters followed with 19.7% and 18.3%.
  • Meanwhile, the naira fell against the pound (N2,143.37/£1) and euro (N1,809.49/€1).
While reduced dollar supply might’ve spelled trouble, inflows from non-bank players helped cushion pressure on the naira. That said, continued volatility in the forex market keeps both the official and black markets reactive to shifts in sentiment and supply. The naira’s resilience here shows pockets of confidence from foreign investors, at least for now.

The naira’s modest gain is a win, but sustainability hinges on consistent inflows, regulatory clarity, and FX market reforms. If the dollar supply doesn’t stabilise, future gains could quickly be erased.