CBN Crashes Dollar With $29 Million Intervention in FX Market
- The Nigerian foreign exchange market has recorded improved liquidity, leading to the naira’s gain
- Experts have disclosed that the Central Bank of Nigeria (CBN) injected $29.10 million into the forex market to boost the naira’s performance
- Meanwhile, the nation’s foreign exchange reserves experienced a boost, as they rose to $41.66 billion from $41.47 billion
Pascal Oparada, a reporter for Legit.ng, has over ten years of experience covering technology, energy, stocks, investment, and the economy.
On Friday, September 12, 2025, the Nigerian currency's value improved in the foreign exchange market due to high dollar volume.
The move helped the naira withstand FX demand pressures for international payments logged by market players.
Source: Getty Images
The naira gains in the official window
Data from the Central Bank of Nigeria (CBN) indicates that the official exchange rate closed the week at N1,501 per dollar on Friday, driven by FX auction sold to banks and further inflows across other sources.
At the Nigerian Autonomous Foreign Exchange Market (NAFEM) window, the naira appreciated by 0.89% weekly to close at N1,501.50 per dollar due to improved liquidity and dollar inflows.
CBN dollar injection boosts the naira
According to reports by Market Forces Africa, the apex bank sold $29.10 million to authorised dealers.
This was aimed at supporting the naira amid growing external reserves, according to analysts at Cordros Capital Limited.
Meanwhile, Nigeria’s gross external reserves rose for the tenth week consecutively, growing by $87.11 million weekly to hit $41.66 billion.
The FX market recorded a more robust performance for the local currency across key trading segments, with inflows from the CBN, exporters, and foreign portfolio investors (FPIs).
The black market converges with the official rate
In the parallel segment of the forex market, the naira saw a 1.88% gain, as the exchange rate strengthened to an average of N1,501 per dollar.
This broad-based rise shows a renewed trader confidence and a reduction of speculative pressures in the informal market.
Crude oil price falls, Gold rises
Data from the international crude oil market shows that crude oil prices dipped by two per cent on Thursday, September 11, 2025, as US demand concerns and oversupply outstripped Middle East and Ukraine tensions.
Brent Crude dropped $1.12 to sell at $66.37, while WTI dipped $1.30, or 2.0% to $62.37.
Reports say Gold prices firmed up near record highs, with soft US jobs data reinforcing Federal rate cuts despite firmer inflation.
Market players are increasingly sceptical about China’s capacity to sustain its current level of oil imports and maintain low OECD inventories.
Source: Getty Images
Gold steadied near record highs, with soft U.S. jobs data reinforcing Fed rate cut bets despite firmer inflation. Spot gold dipped 0.2% to $3,632.49, while U.S. futures eased 0.2% to $3,673.60.
Naira gains N37, experts warn dollar hoarders
Legit.ng earlier reported that on Wednesday, September 10, 2025, the Nigerian currency rose to N1,500 per dollar as demand for the US currency reduced in the official window.
Forex market players expressed optimism that the naira will continue its rally, making dollar hoarding a risky venture in Nigeria.
CBN data showed the naira closed at N1,500.91 per dollar, stronger than N1,506 the day before.
Source: Legit.ng
