Nigeria’s foreign exchange market recorded a major shift on Wednesday as the naira appreciated to N1,348 per dollar at the Nigerian Foreign Exchange Market (NFEM), following a fresh policy move by the Central Bank of Nigeria (CBN) to allow Bureau De Change (BDC) operators back into the official FX window.
The gain marks the strongest level recorded by the local currency in over a year and reflects renewed confidence in the market amid tightening regulatory controls and improved liquidity conditions.
According to market data, the naira closed at N1,348.95/$ at the official window, crossing below the N1,350 benchmark for the first time since the NFEM was introduced in December 2024. This represents a notable improvement from the N1,351/$ recorded earlier in the week.
Brandspur Banking News Desk reports that the rebound followed a CBN directive permitting licensed BDCs to purchase foreign exchange through authorised dealer banks, with weekly purchases capped at $150,000 per operator. The apex bank said the decision was aimed at easing pressure in the retail FX segment while meeting legitimate demand from end users.
The CBN explained that all participating BDCs must comply strictly with existing operational guidelines, including full Know-Your-Customer procedures and enhanced due diligence checks by authorised dealer banks. Any foreign exchange not utilised must be returned to the market within 24 hours, as BDCs are barred from holding FX positions sourced from the NFEM.
The new framework also restricts settlement practices. Transactions must be conducted through approved settlement accounts, third-party dealings are prohibited, and cash transactions are limited to 25 per cent of the total value of any FX purchase.
The policy shift also rippled through the parallel market, where the naira appreciated to about N1,440/$, gaining N10 from the previous day’s rate.
Beyond currency performance, Nigeria’s broader economic outlook showed signs of recovery. Minister of Industry, Trade and Investment, Dr. Jumoke Oduwole, disclosed that total capital importation into the country reached approximately $21 billion within the first 10 months of 2025, a sharp increase compared to $12 billion in 2024 and less than $4 billion in 2023.
She attributed the growth to targeted reforms, including the development of bankable investment projects, sector-focused deal rooms, and the hosting of Nigeria’s first Domestic Investors’ Summit.
On trade, the minister said Nigeria recorded a surplus in 2025, with total trade estimated at N113 trillion in the first three quarters of the year. Exports rose by 11 per cent year-on-year to $6.1 billion, the highest level recorded in both value and volume.
The CBN noted that the controlled return of BDCs into the official FX market reflects a broader strategy to stabilise the naira, deepen market efficiency, and strengthen regulatory oversight while supporting economic growth.
