Godsent Ogbebor
Naira Weakens Slightly Amid FX Supply Constraints
The naira saw a modest decline on Tuesday, November 11, 2025, as the official Daily Foreign Exchange Market (NFEM) rate closed at ₦1,436.58 to the US dollar, according to the Central Bank of Nigeria (CBN).
In the parallel market, rates in Lagos and other commercial centres fluctuated, with buying prices reported around ₦1,445 and selling rates reaching up to ₦1,469. Some regional dealers were quoting as high as ₦1,515 in isolated cases, as market conditions varied across different locations.
The difference between the official rate and the parallel market rate grew to ₦28–₦30 per dollar this week, reflecting the ongoing strain on foreign exchange inflows and increasing demand outside official channels.
Read also: Naira Falls Sharply to ₦1,473.29 Despite Rising Foreign Reserves
Banks and authorised dealers are still relying on the NAFEX/NAFEM and I&E windows for larger transactions, with commercial bank quotes generally in the mid-₦1,440s. On November 10, a Citibank bulletin showed rates between ₦1,442 and ₦1,448, indicating that institutional rates remain slightly firmer than street-level prices.
Market analysts believe the naira’s movement is driven by lower FX liquidity, with weekly inflows dropping by 15.7%. The continued demand from importers and other payments outside formal channels is expected to keep the parallel market premium in play until official inflows improve.
What this means for consumers and businesses:
- Small-dollar buyers will likely pay the parallel market rate (₦1,445–₦1,469) where banks cannot provide cash.
- Businesses using the I&E/NAFEX windows will typically see rates in the mid-₦1,440s, though availability depends on bank processes and documentation.
