Naira FX Weekly Exchange Rate Analysis – Week Ending 19th September 2025 Overview
Overview
In the week ending 19th September 2025, the Nigerian Naira (₦) continued its slow but steady depreciation against the US Dollar ($). The official and parallel market rates both reflected increased volatility, with the Naira closing at ₦1,519/$ compared to ₦1,523/$ earlier in the week.
The movement underscores Nigeria’s fragile forex environment, driven by fluctuating oil revenues, tightening global liquidity, and continued reliance on imports. For businesses, investors, and everyday Nigerians, this week’s data signals both risks and opportunities in the currency markets.
Daily Naira to Dollar Closing Rates (16th – 19th September 2025)
16th Sept: ₦1,529/$
17th Sept: ₦1,528/$
18th Sept: ₦1,523/$
19th Sept: ₦1,519/$
👉 In just four trading sessions, the Naira appreciated by ₦10 against the USD, showing marginal strength after weeks of pressure.
Weekly Performance Index
Opening (16th Sept): ₦1,529/$
Closing (19th Sept): ₦1,519/$
Net Change: ₦10 gain
Percentage Change: +0.65%
Trend: Mild appreciation
While the gain looks modest, it is significant given the Naira’s broader trend of weakness since May 2025, when it traded around ₦1,615/$.
Global Market Context
US Federal Reserve Policy
The Fed maintained higher-for-longer interest rates, strengthening the USD globally. This has made dollar access costlier for emerging markets like Nigeria.Crude Oil Prices
Brent crude hovered around $82 per barrel, providing moderate relief to Nigeria’s reserves but insufficient to cover surging import demands.Emerging Market Currencies
The South African Rand and Ghanaian Cedi also faced pressure, with the Rand closing weaker at ZAR 18.9/$, highlighting regional FX struggles.
Key Drivers of Naira Movement
Forex Liquidity Pressure: Limited supply of USD in Nigeria’s official window continues to drive demand in parallel markets.
Speculative Demand: Many importers and individuals hedge early, fearing future depreciation.
Diaspora Remittances: Remittance inflows provided some cushion this week, aiding the ₦10 gain.
What This Means for Businesses and Traders
Importers: Should lock in rates early to avoid shocks as volatility may persist.
Exporters: Stand to benefit from stronger USD inflows when repatriated.
Investors: Can explore arbitrage opportunities between official and P2P/crypto-based USDT exchanges.
Naira FX Outlook
Looking ahead to next week, the Naira may test ₦1,515/$ support if remittance inflows continue, but underlying pressure suggests possible weakening toward ₦1,530/$ again.
Traders on Naira FX should watch both:
Global oil prices (main revenue source for Nigeria), and
USDT liquidity (a growing hedge for USD access in the local market).
Conclusion
The Naira’s close at ₦1,519/$ this week is a welcome but fragile improvement. With external pressures from global markets and internal structural issues, Nigeria’s FX landscape remains highly volatile.
👉 At Naira FX, we provide daily exchange rate updates, market insights, and reliable P2P settlement to help you navigate these shifts profitably.
