Official CBN Rate Holds Steady Amid Forex Volatility
The exchange rate between the United States Dollar (USD) and the Nigerian Naira (NGN) remained relatively stable on Thursday, July 31, 2025, as the Central Bank of Nigeria (CBN) continued to defend the official window from external pressures and parallel market fluctuations.
TJ News Nigeria reports that the official exchange rate published by the Nigerian Foreign Exchange Market (NFEM) — monitored by the CBN — shows that the naira traded at ₦1,533.18 to the dollar as of the most recent market close on Tuesday, July 29, 2025. This figure remains consistent, with only marginal movement expected on Thursday barring any significant market intervention or demand shock.
CBN Retains Benchmark Amid Tight Forex Controls
According to the CBN’s official data, the exchange rate recorded a daily high of ₦1,535.50 and a low of ₦1,520.00, maintaining a tight band reflective of ongoing liquidity management and policy tightening. The apex bank has consistently enforced a conservative monetary policy stance in 2025, keeping the Monetary Policy Rate (MPR) at 27.50% for the third consecutive month to combat inflation and currency instability.
Recent comments by CBN Governor Olayemi Cardoso reaffirmed the bank’s commitment to monetary discipline and foreign exchange reform, noting that “stabilizing the naira remains a top policy priority.”
Parallel Market Divergence Persists
While the official window shows relative calm, reports from street-level and bureau de change (BDC) operators indicate that the parallel market continues to trade at a premium. Unofficial sources suggest that the naira is currently exchanging between ₦1,590 and ₦1,620 per dollar in parts of Lagos, Abuja, and Port Harcourt.
Financial analysts warn that this growing divergence between the official and parallel rates may deepen if forex supply does not improve, especially as demand surges for international trade, travel, and remittances.
Key Indicators at a Glance
| Market Type | Rate (₦/USD) | Source |
|---|---|---|
| Official NFEM | ₦1,533.18 | CBN (July 29, 2025) |
| Parallel Market | ₦1,590–₦1,620 | BDC & Street Sources |
| 2025 YTD Average | ₦1,551 | Analyst Consensus |
| Historical High | ₦1,605 | April 2025 |
Forex Outlook for August
Looking ahead into August, currency analysts anticipate cautious optimism in the forex market. Any future appreciation of the naira will likely depend on improved crude oil export revenue, increased diaspora remittances, and ongoing structural reforms promised under the Tinubu administration.
In addition, the Federal Government’s new foreign investment drive and efforts to repatriate stranded dollar assets abroad could play a pivotal role in stabilizing forex supply and easing pressure on the naira.
What you should know
As of today, the naira remains stable at ₦1,533.18/USD on the official window. However, the gap with the parallel market underscores persistent challenges in forex liquidity and investor confidence. Economic stakeholders continue to monitor the CBN’s policy signals closely, hoping for sustained progress in exchange rate unification and inflation control.
