Naira Strengthens Against Dollar in Black Market

The Naira extended its gains against the US dollar on Monday, July 21, appreciating in the parallel market.

Currency dealers in Abuja told Economic Confidential that the Naira was exchanged at ₦1,520 per dollar for buying and ₦1,528 for selling, an improvement from Friday’s closing rate of ₦1,530 to the dollar.

At the official Nigerian Foreign Exchange Market (NAFEM), the local currency held relatively stable, closing at ₦1,528 per dollar on Monday, representing a slight depreciation from Friday’s rate of ₦1,532.

Despite the rebound in the parallel market, the persistent gap between official and black-market rates highlights ongoing challenges in Nigeria’s forex ecosystem. These include dollar scarcity, speculative trading, and uncertainty over the Central Bank’s monetary policy direction.

Analysts warn that without deeper structural reforms, the Naira may continue to face pressure, despite recent policy efforts to restore investor confidence and stabilize the market.