The Nigerian naira traded at N1,382.33 per US dollar at the official Nigerian Foreign Exchange Market (NFEM) on Monday, July 13, 2026, remaining relatively stable from the previous trading session when it closed at N1,379.62. In the parallel market, the dollar was bought at around N1,410 and sold at N1,425, reflecting continued higher demand for foreign exchange outside the official market.
Black Market Premium Persists
The gap between the official NFEM rate and the black market rate underscores sustained demand for dollars outside the formal banking system. Bureau de change operators and street traders quoted the greenback at approximately N1,425 per dollar for selling and N1,410 per dollar for buying, although rates varied across major commercial centres depending on demand and the availability of foreign currency. Many importers, manufacturers, travellers and small businesses still rely on the informal market when they are unable to obtain sufficient foreign exchange through authorised channels.
Financial analysts have noted that while the spread between both markets has narrowed compared to previous periods of heightened volatility, disparities remain due to uneven dollar liquidity and speculative demand.
Key Drivers of Naira Performance
The performance of the naira continues to depend on several macroeconomic factors, including Nigeria's crude oil export earnings, foreign exchange inflows from foreign portfolio investors and remittances, as well as the country's external reserves. The Central Bank of Nigeria (CBN) has maintained a series of foreign exchange reforms aimed at improving market transparency, boosting liquidity and attracting investment into the official market. The apex bank has also continued interventions designed to support orderly market operations while allowing exchange rates to be largely determined by market forces.
According to analysts, the naira's performance will continue to depend on Forex liquidity, oil earnings, investor confidence, and the CBN's foreign exchange policies. Market participants will be watching upcoming movements in oil prices, FX inflows and future CBN policy decisions for fresh signals on the direction of the naira.
Outlook for Exchange Rate Stability
The marginal depreciation of the naira at the official window suggests that the local currency has continued to trade within a relatively narrow band in recent weeks, supported by ongoing reforms in Nigeria's foreign exchange market. Analysts believe sustained improvements in dollar supply and stronger investor confidence will be critical to narrowing the gap between the official and parallel markets and ensuring long-term exchange rate stability.
