The naira weakened to N1,490 per dollar at the parallel market, pushing the exchange rate gap with the official market to its widest level in 11 months.
This is according to data from Naijaonpoint Research and the Central Bank of Nigeria’s (CBN) official market update for the third trading week of January 2026.
While the official market recorded a slight appreciation, trading remained under pressure amid growing demand for foreign exchange and limited supply.
The naira closed at N1,417.95 per dollar in the official market on Friday, appreciating slightly from N1,424.5 recorded a week earlier.
However, in Abuja’s parallel market, the currency depreciated to between N1,489 and N1,490, compared to N1,477 on January 9. This widened the official-parallel gap to N73 — the highest since February 2025.
The marginal appreciation of the naira this week coincided with a modest improvement in Nigeria’s external reserve position.
This shows that while external buffers are improving, the forex market remains strained by demand-side pressures.
At the close of 2025, the exchange rate gap between the official and parallel markets widened significantly.
The return of a widening gap highlights ongoing instability in Nigeria’s FX pricing system.
The gap between Nigeria’s official and parallel market exchange rates is closely watched as an indicator of market stress.
This divergence influences expectations around future currency direction and policy responses.
Nigeria’s foreign reserves have remained stable above $45 billion since January 2026, offering a cushion for FX market stability.
These indicators are important for understanding the CBN’s capacity and strategies in managing exchange rate volatility.