Nigeria is foreign stock market opened on Thursday on a calm note as the Naira saw little movement against the US dollar in both official and parallel trading, trading at 1,371.25 per dollar in early trade.
Fresh data from the Nigerian Foreign Exchange Market (NFEM) showed the local currency traded at 1371.25/$ during early trade on May 21, 2026. reflects continued stability in the country’s official foreign exchange market.
The latest rate is closely aligned with the trading patterns seen in recent sessions under the supervision of the Central Bank of Nigeria, where the Naira mostly traded around the 1373/$ range.
Market participants said the official window continued to witness healthy liquidity levels, supported by steady interbank activity and controlled supply management.
According to traders, the market remained within a narrow range thanks to effective trade matching and regular forex interventions, which helped prevent sharp fluctuations at the start of trading.
The parallel market reflects the official trend
The informal currency market also reflected similar stability in major commercial centers including Lagos, Abuja and Kano.
Bureau De Change operators are quoting the dollar at about 1,370 Naira for buying and 1,372 Naira for selling, leaving only a thin margin between the official and street market rates.
Economic observers noted that the narrowing gap between the two segments signals an improvement in confidence in the forex market, as speculative demand pressure appears to have eased significantly in recent weeks.
Analysts linked this development to tighter monetary controls and policy adjustments aimed at supporting exchange rate stability.
They added that balanced retail demand and sustained liquidity management contributed to the current market calm.
Monetary policy supports stability
The monetary environment in the country also remained restrictive, with the benchmark monetary policy rate at 26.5 percent.
Financial experts believe that high interest rates continue to support the Naira by limiting excess liquidity within the system and discouraging speculative attacks on the local currency.
For now, traders in the official and parallel market expect the Naira to maintain its current range unless there is a major change in foreign exchange inflows or the direction of monetary policy.
