Nigerian FX Derivatives Turnover Drops 45.19% Amid Weak Demand

The Nigerian foreign exchange market experienced a significant downturn in FX derivatives, with total turnover plummeting by 45.19% to $1.631 billion for the week ending July 10, 2026. This decline represents a sharp decrease of 46.57% in contract amounts, dropping from $3.053 billion the previous week.

The bearish sentiment in the market heavily impacted the hedging segment of derivative instruments, leading to a total turnover decrease of 46.62% in FX spot transactions and a 45.19% drop in FX derivative transactions. The FMDQ Exchange reported that the FX forward turnover remained flat at $0.00 million for the week.

The daily average turnover also suffered, slipping to $326.22 million from $610.60 million during the review period. Despite the significant drop in volume, FX spot transactions continued to dominate the market, accounting for 96.86% of total turnover, while FX forwards represented only 3.14%.