Nigeria FX Market Transactions Rise 11% to $2.63bn

Transactions in Nigeria’s foreign exchange market rose by 11 per cent to $2.63 billion in the week ended September 25, signalling increased activity across the market.

The increase covered both spot and derivatives transactions, according to a report published on Wednesday.

The rise comes as businesses, investors and other market participants continue to monitor movements in the naira and the availability of foreign exchange.

Recent trading data also showed relative stability in the naira against the US dollar, although exchange rates continued to differ between the official and parallel markets.

The level of activity in the foreign exchange market remains important for businesses that rely on imported goods, raw materials and international payments, as currency movements can directly affect operating costs.

Higher transaction volumes could indicate increased participation and demand for foreign exchange, although the impact on exchange-rate stability will depend on broader market conditions.

For businesses and consumers, attention will remain on whether increased activity translates into greater FX liquidity, more stable exchange rates and more predictable costs.

The latest figures provide another indication of the level of activity in Nigeria’s financial markets as participants continue to assess the direction of the naira and the wider foreign exchange market.