The Nigerian Foreign Exchange Market (NFEM) recorded an improvement in the value of the Naira against the U.S. Dollar on October 28, 2025, as the official exchange rate showed slight appreciation while the parallel (black) market remained relatively stable. The development follows continuous Central Bank of Nigeria (CBN) interventions aimed at stabilizing the foreign exchange market.
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Official NFEM Rate
At the official window, the NFEM rate currently stands at around ₦1,457.06 per U.S. Dollar, indicating a modest gain compared to earlier levels within the same day that hovered between ₦1,457 and ₦1,458. This improvement reflects increased dollar supply and policy adjustments by the CBN to close the gap between the official and parallel markets while ensuring liquidity for legitimate forex demand.
Parallel Market (Black Market) Rate
Despite its informal nature, the parallel market continues to influence local pricing and retail foreign exchange activities. As of today:
- Buying Rate: ₦1,450 – ₦1,460 per $1
- Selling Rate: ₦1,470 – ₦1,480 per $1
Although the black market rates remain slightly higher, the difference between both windows has narrowed, which analysts see as a result of stronger monetary coordination and improved transparency in forex distribution.
Implications for Nigerians
The closer alignment between official and unofficial rates signals a healthy trend for the Nigerian economy. It shows that CBN’s recent reforms are starting to yield positive outcomes in curbing speculation and strengthening investor confidence.
For Importers: Stable exchange rates help importers plan better, manage cost projections, and avoid unexpected price hikes in imported products.
For Exporters: A firmer Naira may slightly reduce Naira-denominated earnings, but long-term stability supports sustainable business growth and investment returns.
For Travellers and Students: With the Naira appreciating, those buying Dollars for travel, tuition, or international payments may now find rates more affordable and closer to official levels.
Expert Opinion
Financial analysts attribute the Naira’s resilience to CBN’s continuous liquidity injections, monitoring of forex inflows, and increased participation of authorized dealers in the NFEM window. They emphasize that sustaining this recovery will depend on Nigeria’s ability to boost exports and foreign investments while managing demand efficiently.
Current Outlook
The current trend suggests that the Naira may maintain its position around ₦1,450–₦1,480 per Dollar in the coming days, provided that market discipline and adequate dollar supply are maintained. The ongoing narrowing of the exchange rate gap between both markets could mark a step toward long-term currency stability in Nigeria.
Summary
As of October 28, 2025, the Dollar to Naira exchange rate shows that the local currency is firming up against the U.S. Dollar, trading at ₦1,457.06 officially and ₦1,470–₦1,480 in the parallel market. The movement signals improving confidence in Nigeria’s forex market and the impact of ongoing reforms by the Central Bank.
