Naira Weakens as FX Market Turnover Falls to $2.37 Billion

The naira weakened against the US dollar last week, with Nigeria's foreign exchange market turnover declining by 30.23% to $2.37 billion, according to FMDQ Group data. This marked a drop from $3.39 billion in the week ending September 11, 2026, representing a decrease of approximately $1.03 billion.

The decline was attributed to a 21.06% fall in FX spot transactions and a significant 93.74% drop in derivatives trading, as reported by Tumi Sekoni, Chief Operating Officer of FMDQ Group. The naira's value fell to N1,331.20 per dollar by Friday, down from N1,326.51 at the week's start, reflecting a 0.35% decline.

In the parallel market, the dollar traded at N1,390, indicating a 4.1% gap from the official closing rate. Analysts from Cowry Assets Management noted that sustained demand for the US dollar and portfolio adjustments contributed to the naira's pressure, although they observed that the currency remained broadly stable.

Cordros Research anticipates that the naira will maintain stability in the near term due to portfolio inflows and a widening current account surplus.