CBN Releases New FX Rate as Naira Falls, Gap Widens Between Official, Black Markets
- The Nigerian currency is under pressure from what experts say is due to the year-end activities
- At the close of business on Thursday, December 4, 2025, the naira depreciated marginally in the FX market
- Also, the parallel market experienced a depreciation, trading at N1,460 per dollar from the previous day’s rate
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
The foreign exchange market recorded only slight movement on Thursday, December 4, 2025, as Nigeria’s currency continued to face year-end pressures despite renewed interventions by the Central Bank of Nigeria (CBN).
With importers, businesses and foreign portfolio investors (FPIs) rushing to settle obligations ahead of the festive season, the naira struggled to gain ground in both official and parallel markets.
Source: Getty Images
Marginal movement at the CBN window
Fresh data from the Central Bank of Nigeria showed that the official spot forex rate slipped by 0.01% to N1,447.83 per dollar, reflecting tight demand–supply conditions in the market.
According to figures from the Nigerian Foreign Exchange Market (NFEM), the naira weakened by 18 kobo, closing at N1,447.8263 per dollar.
The currency traded between N1,450 and N1,446 during the session, with dealers quoting an intra-day high of N1,450, unchanged from the previous day.
Despite recent FX inflows from FPIs and intermittent CBN supply, traders reported persistent demand pressure, largely triggered by increased requests for year-end imports, corporate remittances, and forex settlements by portfolio investors.
Parallel market shows divergent movement
In the parallel market, the naira edged lower to N1,460 per dollar, highlighting ongoing divergence between the regulated and informal FX segments.
Market operators attributed the gap to rising speculative demand and delayed liquidity injections into the official market.
Analysts say that unless the CBN boosts dollar supply in the coming days, the naira may continue to face short-term w?
volatility, especially as businesses intensify import activities before the holiday break.
Oil prices rise on global rate-cut expectations
Global oil prices strengthened on Thursday as investors continued to anticipate interest rate cuts in the United States.
Market activity was also influenced by ongoing Ukraine peace discussions, which moderated expectations of a swift restoration of Russian oil supply.
Brent Crude gained 76 cents or 1.21%, closing at $63.43 per barrel, while West Texas Intermediate (WTI) rose 89 cents to $59.84 per barrel.
Analysts say the oil market could see further firming if geopolitical risks intensify, particularly in regions supplying major global crude volumes.
Gold prices edge up ahead of U.S. inflation data
Gold prices ticked higher on Thursday, supported by a softer U.S. dollar even as rising Treasury yields capped stronger gains.
Investors are closely watching Friday’s U.S. inflation figures, which are expected to give further direction on the Federal Reserve’s policy stance as its December meeting approaches.
Spot gold climbed 0.18% to $4,213.81 per ounce, while U.S. gold futures increased 0.28% to $4,244.50 per ounce, according to data cited by Market Forces Africa.
Currency gap widens FX markets
Market watchers expect gold to remain sensitive to upcoming U.S. economic releases, with the metal likely to face pressure if inflation readings bolster expectations of delayed rate cuts.
A prior report by Legit.ng disclosed that Nigeria’s foreign exchange market saw renewed volatility as the gap between official and parallel dollar rates stretched wider, raising new concerns about currency stability.
Fresh market data showed that the naira strengthened marginally on the official window but weakened in the informal market, creating a wider spread that signals deeper pressure on the economy.
Source: Getty Images
The FX spread, which tracks the difference between official and black-market rates, widened to 1.70 percent from 1.14 percent the previous day.
Dollar drops in value as naira soars
Legit.ng earlier reported that Nigeria’s currency recorded fresh gains on Tuesday, December 2, 2025, following a notable boost in dollar liquidity across the foreign exchange market.
The naira appreciated on both the official and parallel market segments after the Central Bank of Nigeria increased its FX supply by $186.6 billion last week.
This injection helped ease demand pressures that had weighed heavily on the currency in recent weeks.
Source: Legit.ng
