Dollar to Naira Exchange Rate Today, October 22, 2025: Latest Update from Official and Parallel Markets

The Nigerian Naira traded within a tight range across both the official and parallel (black) foreign exchange markets on Wednesday, October 22, 2025, as market activity remained relatively stable following modest gains earlier this month.

At the official Nigerian Foreign Exchange Market (NFEM/NAFEX) window, the dollar was quoted at an average of ₦1,468 per $1, according to data released from trading sessions. Meanwhile, the parallel market—popularly known as the black market—recorded rates between ₦1,480 (buy) and ₦1,495 (sell) per dollar.

Naira Holds Steady as Market Liquidity Improves

Currency dealers in Lagos and Abuja confirmed that the market experienced improved dollar supply on official platforms, which helped maintain exchange stability and reduce volatility.

In recent weeks, the Central Bank of Nigeria (CBN) has introduced several measures to boost liquidity and ease access to forex for critical sectors of the economy. These efforts, combined with a gradual decline in inflation, have helped to calm investor sentiment and sustain moderate naira gains.

Analysts also noted that the apex bank’s decision in September 2025 to slightly adjust the Monetary Policy Rate (MPR) signaled a move toward monetary easing, following months of aggressive tightening meant to stabilize inflation and the exchange rate.

Despite these positive developments, the supply-demand imbalance—driven largely by importers, manufacturers, and retail buyers—continues to sustain the premium between official and parallel market rates.

Why There’s Still a Gap Between Official and Black Market Rates

The official NAFEM rate is derived from interbank trades and volume-weighted averages reported daily by authorized dealers. These figures are verified by the CBN and the FMDQ Exchange before publication.

However, the parallel market operates independently and is influenced by cash-based transactions, street-level demand, and restrictions on official dollar access. When liquidity tightens at official windows or banks limit FX availability to private customers, black market rates often rise, as seen in today’s ₦15–₦30 spread between both markets.

What the Current Exchange Rate Means for Nigerians

For businesses, importers, and manufacturers that depend on official channels, transactions will continue to take place around the ₦1,468/$1 benchmark.

However, individuals and small traders sourcing cash dollars on the street will likely encounter higher rates between ₦1,480 and ₦1,495 per dollar, depending on their location and transaction size.

Financial analysts recommend that businesses closely monitor CBN liquidity operations and intraday NAFEM data when planning forex-related payments or imports, as even minor fluctuations can influence profit margins.

Outlook: Can the Naira Maintain Its Stability?

Market watchers believe the naira’s stability in October reflects a combination of policy alignment, improved transparency in FX operations, and growing confidence in Nigeria’s macroeconomic reforms.

However, sustained progress will depend on the CBN’s ability to maintain steady inflows from oil revenue, diaspora remittances, and foreign investment. Experts also warn that seasonal import demand and speculative trading could still pressure the local currency in the coming weeks.

The government’s ongoing fiscal and monetary coordination is expected to strengthen the foreign exchange framework, attract long-term capital inflows, and narrow the gap between official and black market rates over time.