The Nigerian naira maintained a relatively strong position against the US dollar on Tuesday, August 18, 2026, following its recent gains at the official Nigerian Foreign Exchange Market (NFEM) and continued stability in the parallel market.
The naira closed at around ₦1,350 to the dollar at the NFEM on Monday, August 17, according to the latest available official figures. This was an improvement from the ₦1,358.25/$ recorded on Friday, August 14.
Data from the Central Bank of Nigeria showed that the August 17 closing rate represented an appreciation of ₦8.25, or about 0.6 per cent. It was also the naira’s strongest closing level since April 22, 2026.
Early trading on Tuesday showed the currency remaining close to the ₦1,350/$ mark. A live USD/NGN rate placed the dollar at approximately ₦1,352.22, suggesting that the naira had largely maintained its recent gains.
In the parallel market, the dollar was being bought at about ₦1,407 and sold for around ₦1,420, based on the latest available Bureau De Change rates. At the selling rate, anyone looking to purchase $1,000 would need roughly ₦1.42 million, while those selling the same amount could receive about ₦1.407 million.
The parallel market selling rate of ₦1,420 is approximately ₦70 higher than the official NFEM rate of ₦1,350. This represents a difference of about 5.2 per cent between the two markets.
The naira’s recent performance at the official market has been supported by improved foreign exchange liquidity and stronger dollar supply. Recent market data also indicate a period of relative stability, with the currency moving from ₦1,365.69/$ in the previous week to ₦1,357.61/$ on August 17 before strengthening further towards the ₦1,350/$ level.
Market watchers are expected to keep a close eye on factors that could influence the currency in the coming days. These include dollar supply and demand, importers’ foreign exchange needs, crude oil receipts, foreign investment inflows, diaspora remittances and monetary policies from the Central Bank of Nigeria.
It is worth noting that parallel market rates may differ depending on the location, dealer and size of the transaction. The official NFEM rate, on the other hand, reflects the volume weighted average of transactions conducted through Nigeria’s formal foreign exchange market.
Exchange rates can also change throughout the day as supply, demand and other market conditions shift.
