Exchange data from NGNToday on Tuesday, 20 January indicated that Nigerian naira ended with mixed signals across major foreign exchange indicators, highlighting persistent market pressure.
While the US dollar maintained stability against the naira compared with Monday, the euro continued to expose widening pressure between official and parallel market rates.
At the official foreign exchange window, the euro was quoted at N1,649, reflecting ongoing efforts by monetary authorities to stabilise pricing through regulated channels.
Meanwhile, this figure sharply contrasted with the black market rate of N1,705, underscoring persistent liquidity constraints and unmet demand for foreign currency outside the formal system.
The N56 premium between the official and parallel euro rates highlights the structural imbalance in Nigeria’s FX market.
Analysts note that such a gap typically signals sustained pressure on the naira, driven by import demand, overseas tuition payments, travel needs, and limited access to official forex allocations.
In contrast, the US dollar recorded no movement, trading at the same levels as the previous day across monitored markets for N1422 and N1470 at official and black market respectively
This flat performance suggests a short-term equilibrium, likely supported by cautious demand and market anticipation of further policy signals from the Central Bank of Nigeria (CBN).
However, currency watchers warn that stability should not be mistaken for strength, as broader macroeconomic fundamentals remain fragile.
From a data perspective, the divergence between euro and dollar behaviour points to currency-specific demand dynamics rather than a uniform improvement in naira performance. The euro’s weakness against the naira in the parallel market may also reflect increased demand linked to European trade settlements and migration-related expenses.
Overall, Monday’s exchange rate data reinforces the reality of a two-tier FX market, where official rates remain shielded while parallel market prices adjust rapidly to real-time demand and supply conditions.
Until forex inflows improve and confidence deepens, analysts expect these disparities to persist.
