Nigeria's naira strengthens as CBN confirms official-parallel FX gap narrows below 2%
The Central Bank of Nigeria announced Tuesday that the spread between official and Bureau de Change exchange rates has narrowed to below two percent, indicating naira strengthening. Acting CBN spokesperson Mrs. Hakama Sidi-Ali made the announcement at a Gombe event, crediting forex reforms for boosting external reserves to $51.94 billion as of August 3.
According to DAILY POST's Wednesday report, the naira traded at ₦1,362.55/$1 in the official market while the parallel market rate was ₦1,425/$1. This wider spread appears to contrast with the CBN's Tuesday claim of sub-2% gap.
If sustained, the narrowing gap could reduce costs for importers, travelers, and those needing foreign exchange, while supporting inflation control. With reserves at $51.94 billion, the naira has potential for further appreciation if reforms sustain forex inflows.
Will the narrowing FX gap translate to lower costs for your dollar-dependent expenses like school fees, imports, or travel, or should you wait for more consistent rate stability before making forex purchases?