Naira Strengthens as Dollar Supply Improves in Nigeria
Written by Okafor Joseph Afam | SpringnewsNG Media Limited | June 16, 2025
Businesses across Nigeria are breathing a sigh of relief as the long-standing dollar scarcity begins to ease, bringing some stability to the foreign exchange market and improving access to U.S. dollars for trade and imports.
Over the past week, improved foreign currency inflows from the Central Bank of Nigeria (CBN), increased oil receipts, and rising diaspora remittances have helped stabilize the naira, which has appreciated slightly against the U.S. dollar in both the official and parallel markets.
Forex Market Sees Increased Liquidity
Currency dealers and financial analysts confirm that the CBN has intensified dollar interventions to support the naira, following months of pressure from a widening supply-demand gap. The increased forex liquidity is particularly timely for manufacturers, importers, and SMEs who have struggled to access dollars for essential raw materials and equipment.
“The dollar situation is beginning to normalize. We’ve seen improved allocations this week, and it’s helping to reduce backlogs,” said Tunde Bakare, a Lagos-based import/export trader.
Exchange Rates Show Positive Movement
As of Monday, the naira traded at ₦1,165/$ at the official window, appreciating from ₦1,220/$ the previous week. In the parallel market, rates also dropped from ₦1,300/$ to about ₦1,250/$,
