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Naira Inches Up as Dollar Exchange Rate Shifts Again

The Naira made a slight recovery against the US dollar in the official market, appreciating to ₦1,512.30/$1 on Thursday, March 6, 2025, compared to ₦1,500.80/$1 on Wednesday, according to data from the Central Bank of Nigeria (CBN). However, on the black market, the dollar is still trading as high as ₦1,575/$1, reflecting the persistent gap between official and parallel market rates despite CBN’s unification policy.

Since June 2023, the CBN has consolidated all FX segments into the Investors & Exporters (I&E) window, adopting a “Willing Buyer, Willing Seller” model to enhance market efficiency. The apex bank also reintroduced order-based two-way quotes and removed limits on oversold FX positions to create a more transparent and flexible exchange rate system. While this shift implies Nigeria is allowing the naira to float more freely, the divergence in rates suggests that market forces are still adjusting to the new system.

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