Naira Falls N2.85 as Nigeria Enters JPMorgan Emerging Markets Bond Index
- The naira closed at N1,329.15 per dollar on Tuesday, slipping N2.85 from Monday's rate at the official NFEM window
- JPMorgan added Nigerian local-currency government bonds to its new GBI-EM Edge index, giving Nigeria a 7.4% weighting
- Analysts say foreign investors have not yet moved funds into Nigerian bonds despite the JPMorgan announcement
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Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The naira dipped marginally against the dollar on Tuesday, September 15 at Nigeria's official foreign exchange market, closing at N1,329.15 per dollar compared with N1,326.30 the previous day, a decline of N2.85 or 0.2%, according to Central Bank of Nigeria figures.
Despite the naira's small retreat, trading activity surged in the interbank market.
Turnover climbed 174.16% to $262.12 million, up from $95.61 million on Monday, while the number of transactions rose to 172 from 109.
Source: Getty Images
Naira to dollar exchange rate
Analysts at Coronation Merchant Bank expect the naira to remain relatively stable in the short term, supported by the improvement in Nigeria’s external reserves.
The analysts also said the inclusion of Nigerian local-currency bonds in the FTSE Russell index could provide additional support for the naira over the medium to long term.
According to a report by Coronation Merchant Bank, the naira recorded mixed movements across the foreign exchange market last week, with the official exchange rate weakening while the parallel-market rate appreciated.
At the official market, the naira lost 0.40% week-on-week, with the dollar closing at N1,326.52 compared with N1,321.22 recorded in the previous week.
The currency posted its weakest daily performance on Wednesday, September 9, 2026, when the official exchange rate fell to N1,329.21 per dollar.
Meanwhile, the naira strengthened in the parallel market, where the dollar rate declined to N1,385.00 from N1,390.00 a week earlier, representing a 0.36% week-on-week improvement.
The movement in both markets reduced the gap between the official and parallel-market rates.
The parallel-market premium narrowed to N58.48 per dollar from N68.78 in the preceding week, although the difference between the two exchange rates remained substantial.
Source: Getty Images
JPMorgan adds Nigeria to new bond index
The session came against the backdrop of JPMorgan's decision to include Nigerian naira-denominated government bonds in its newly launched Government Bond Index-Emerging Markets Edge (GBI-EM Edge), BusinessDay reports.
Nigeria received a 7.4% weighting in the index, which tracks local-currency sovereign debt from frontier markets, covers roughly $328 billion across 26 countries, and carries an 8% cap per country.
The inclusion is expected to improve the visibility of Nigeria’s domestic debt market among global investors and could support increased foreign portfolio flows into the country’s local-currency bond market.
BDC operators arrested for operating without CBN approval
Earlier, Legit.ng reported that a Federal High Court in Abuja has sentenced two Bureau De Change operators to five years in prison each for running BDC businesses without a valid licence from the Central Bank of Nigeria.
Justice Obiora Egwuatu handed down the sentences in two separate cases brought by the Economic and Financial Crimes Commission (EFCC).
The prosecutor in both cases was T.M. Anamaeze.
Source: Legit.ng
