The Naira made a small gain in the official market but is still struggling on the streets. According to the Central Bank of Nigeria (CBN), the Naira appreciated to ₦1,538.68 per dollar on March 12, up from ₦1,536.15 the previous day. However, in the black market, it traded as high as ₦1,593 per dollar, showing that demand for dollars is still high.
Despite CBN’s efforts to unify the exchange rate, the gap between official and parallel rates remains. In 2023, the CBN merged all forex markets into the Investors and Exporters (I&E) window, introducing a Willing Buyer, Willing Seller system. This was meant to bring stability, but the Naira is still facing pressure due to low dollar supply and market uncertainties. The CBN has promised further updates, but for now, the forex market remains unpredictable.
Nigeria now has a floating exchange rate, meaning the Naira’s value depends on demand and supply. However, with limited foreign investment and economic challenges, the Naira’s struggles continue. Whether this system will bring long-term stability or more fluctuations is yet to be seen.