The Nigerian naira weakened against the US dollar in the parallel foreign exchange market on Wednesday, October 7, 2026, while the local currency recorded a slight gain at the official Nigerian Foreign Exchange Market (NFEM) window.
The dollar traded at about ₦1,362 in the parallel market, compared with ₦1,357 recorded a day earlier. At the official NFEM window, however, the naira strengthened to ₦1,331.50 per dollar from ₦1,332.90 in the previous session.
The movement widened the gap between the official and parallel-market rates to ₦30.50 per dollar, compared with ₦24.10 on Tuesday. The difference highlights the continuing variation between rates in Nigeria’s formal and informal foreign exchange markets.
Trading activity also increased significantly at the official market. NFEM interbank turnover reportedly rose by 334.8 per cent to $313.6 million, from $72.12 million in the previous session. The Central Bank of Nigeria (CBN) identifies the NFEM rate as the official exchange rate derived from the volume-weighted average of transactions.
The dollar-to-naira exchange rate remains important for businesses, consumers and investors because movements in the currency can influence the cost of imported goods, international payments, foreign travel and other dollar-linked transactions.
Parallel-market rates may vary depending on the dealer, location and transaction size, meaning the quoted rate should be treated as an indicative market figure rather than a uniform nationwide price.
The latest movement comes amid continued efforts to improve foreign-exchange liquidity and stabilise the naira. Market participants will continue to monitor NFEM trading activity, dollar supply and demand, and developments in Nigeria’s broader macroeconomic environment as factors shaping the naira’s performance.
