CBN Sells Dollars to Access, Zenith, UBA, Others at New Rates as Naira Reverses Gain

• The Central Bank of Nigeria (CBN) has conducted another round of foreign exchange interventions in the FX market to boost liquidity
• The apex bank sold $50 million to authorised dealer banks on Tuesday, May 27, 2025, at N1,581 and N1,581.92 per dollar
• However, the naira reversed its two-week gains in the official foreign exchange market on Tuesday, May 27, 2025, trading at N1,590 per dollar

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.

The Central Bank of Nigeria (CBN) has intervened in the official foreign exchange market to boost liquidity and boost the naira’s value.

The financial sector regulator conducted foreign exchange interventions, selling $50 million to authorised banks on Tuesday, May 27, 2025, at N1,581 and N1,581.92.

Naira depreciates amid CBN’s interventions

The latest interventions came after the apex bank sold $190 million to the FX market last week, which experts say has fizzled away.

Data from the Nigerian Foreign Exchange Market (NFEM) shows that the naira reversed its two-week gain, depreciating to N1,583.73 per dollar in the official market on Tuesday, May 27, 2025, as demand pressures mounted.

Tuesday’s NFEM data shows that currency dealers quoted the dollar at a high of N1,591 and a low of N1,581.92.

Analysts are hopeful of the naira’s stability

Analysts say the recent FX interventions were to stop the local currency from crossing the N1,500 threshold.

“The relative volatility was due to a lull in inflows from exports and other forex trading-related activities,” economist and senior banker Janet Ogochukwu explained.

She, however, expressed optimism that the naira will remain within the N1,500 threshold due to robust CBN policies.

“I should think that the CBN is committed to a stable currency, hence the quiet weekly FX interventions in the foreign exchange markets,” she said.

The dollar crashes in the global market

The naira has experienced relative stability in the FX market, recording week-long appreciation as export inflows boosted the volume of dollars in the market last week.

In the parallel segment of the foreign exchange market, the dollar sold at N1,620, down from N1,610 the previous day, as the market expected regulators to stop $35,000 weekly forex sales to bureau de change (BDC) operators in May this year.

Globally, the US dollar Index continued its losses, falling below the 99 ceiling and reaching its lowest level in more than a month.

Experts say the US greenback could remain under pressure due to continued concerns over the fiscal direction of the US government and uncertainty around President Donald Trump’s trade policy.

Nigeria’s FX reserves rise

Meanwhile, Nigeria’s FX reserves increased for the fourth week running by $166.63 million weekly to $38.54 billion as of May 21, 2025, as the apex bank continues to provide buffers to maintain the naira’s stability at the FX market.

He disclosed that the financial sector regulator would increase reforms to ensure that the naira remains stable despite global tensions while maintaining price stability.

Dealers crash the dollar

Legit.ng previously reported that on Wednesday, May 21, 2025, the naira continued to surge against the dollar, marking over a week of continuous appreciation.

Eletad Central Bank of Nigeria (CBN) governor Olayemi Cardoso said the surge is due to the bank's massive reforms.

At the close of trading on Wednesday, May 21, 2025, the naira rose against the dollar for the eighth consecutive day, at N1,583, up from N1,585, representing N5 appreciation.

Source: Legit.ng