SAT JULY 12 2025-theGBJournal| The Nigerian naira fell 0.2% w/w to N1,531.00/US$, as demand pressures emerged, outweighing supply from foreign Portfolio investments (FPIs) looking to participate in the OMO PMA.
In the forwards market, the naira rates depreciated across the 1-month (-0.4% to N1,572.31/US$1), 3-month (-1.5% to N1,646.72/US$1), 6-month (-2.5% to N1,751.58/US$1) and 1-year (-3.8% to N1,952.87/US$) contracts.
The Central Bank of Nigeria (CBN) intervened this week, selling c.US$50.00 million to the market.
Overall, the moves in the FX space are relatively contained, and the recent ranges seem to still be respected.
Meanwhile, after seven consecutive weekly declines, gross FX reserves increased this week by US$147.79 million w/w to US$37.33 billion (July 10).
Analysts expect FX liquidity to record a positive rebound in the coming months, expanding even further as the reduced global strain and stronger market confidence continue to support robust inflows from FPIs.
Factoring in CBN’s ability to intervene, we expect the naira to remain stable in the near term.
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