The Nigerian foreign exchange market opened the first full trading week of 2026 with modest movements in the value of the United States dollar against the Nigerian naira, as traders and financial markets continued to adjust to early-year dynamics in global and domestic currency flows.

Data compiled from multiple currency tracking sources show that at the official interbank window, where rates are generally quoted by banks and financial institutions, one United States dollar (USD) was trading at approximately ₦1,468 to ₦1,470 on Monday.

This mid-market rate reflects little change from weekend pricing and indicates relative stability in the official exchange segment.

Market observers noted that the official naira exchange rate has remained around the N1,440–N1,470 band over recent sessions, as the Central Bank of Nigeria’s (CBN) ongoing liquidity and transparency reforms continue to shape pricing in the Nigerian Foreign Exchange Market (NFEM).

Analysts say these reforms are designed to reduce volatility and support smoother price discovery following previous periods of sharp swings.

Meanwhile, in the parallel foreign exchange market (commonly referred to as the black market), Bureau De Change operators in Lagos reported a significantly weaker naira valuation.

Traders quoted the dollar at around ₦1,480 for selling and ₦1,476 for buying on Sunday, rates that are markedly higher than official figures and reflect ongoing divergence between formal and informal segments of the FX market.

The spread between the official and parallel rates underscores persistent market segmentation and liquidity pressures, with informal exchange venues often responding more quickly to supply–demand imbalances than their bank-regulated counterparts.

Analysts say such disparities may also influence remittance flows and pricing strategies among importers and exporters. Market sources caution that black market rates are volatile and can change during the trading day.

Economists suggest that the naira’s relative resilience at the official window partly reflects improved foreign exchange supply, including gains in external reserves and increased dollar inflows from trade earnings and financial inflows.

However, they note that sustaining stability will require continued policy consistency and deeper liquidity across all market segments.

Investors and forex market participants will be closely watching developments in both the domestic and global economic arena—including movements in the U.S. dollar against major currencies—which may further inform expectations for the naira’s trajectory in the coming weeks.

Summary of USD–NGN Rates as of January 5, 2026

• Official/Interbank (mid-market): ~₦1,468–₦1,470 per USD
Wise

• Parallel Market (BDC/Aboki): ~₦1,476–₦1,480 per USD

Market analysts say that while the naira’s performance shows elements of stability on the official window, the persistent gap with the parallel market highlights structural challenges that continue to shape Nigeria’s foreign exchange landscape.