Today, January 17, 2025, the Naira continues to battle fluctuations in the foreign exchange market. According to the FMDQ Security Exchange, the official forex portal, the Naira opened at ₦1,555.00 per dollar on January 15, 2024, and closed at ₦1,548.47 on January 16, 2025. Despite this, black-market rates have soared, with the Naira trading as high as ₦1,667 per dollar.
The Central Bank of Nigeria (CBN) had earlier announced significant reforms, unifying all FX windows into the Investors and Exporters (I&E) window. This move aims to streamline processes and promote transparency. Key reforms include the reintroduction of the “Willing Buyer, Willing Seller” model, removal of trading limits on oversold FX positions, and the implementation of order-based quotes to ensure market clarity and fair pricing.
These changes signify a shift toward a freer exchange rate system, allowing the Naira to float in response to market forces. While this strategy aims to stabilize the currency in the long term, the disparity between official and black-market rates underscores the challenges of balancing demand and supply in Nigeria’s forex landscape.