Naira Holds Near 1,331/$ in Official Market as Parallel Rate Nears 1,395

The naira began Monday's session with limited movement in the official FX market, quoted at approximately 1,331.20 against the US dollar. In the parallel market, the exchange rate was around 1,395/$. The most recent confirmed Nigerian Foreign Exchange Market (NFEM) fixing, using Friday's data, showed the naira gaining slightly from the previous reading of 1,331.28/$. A live USD/NGN benchmark was also near 1,330.65/$ in early trading, indicating only modest volatility in the official spot rate. At 1,395/$ in the parallel market, the FX premium over the latest NFEM rate was about 63.80/$. That premium reflects the pricing gap between the formal market and the parallel segment, where rates can adjust more rapidly to changes in dollar demand and available liquidity. The small shift in the NFEM rate suggests official-market pricing has remained broadly stable in recent sessions. Actual transaction rates may still differ across banks, Bureau de Change operators, locations, and transaction sizes. Nigeria's external reserve position has also improved. Central Bank of Nigeria data cited by BusinessDay showed reserves at $54.61 billion as of September 14, an 18-year high and a 30.52 per cent year-on-year increase from the same period in 2025. A higher reserve position is an important indicator of the country's external liquidity and its capacity to support foreign-exchange market operations, though reserve levels do not directly determine the retail or parallel-market exchange rate. As of September 21, 2026, the key USD/NGN reference points were approximately 1,331.20/$ on the NFEM and 1,330.65/$ on the live benchmark.