Naira slips to ₦1,347.94 at official market as November trading opens
- The naira weakened slightly at the official market on Monday, closing at ₦1,347.94 per dollar from ₦1,346.26 on Friday.
- Parallel market dealers quoted about ₦1,390 per dollar, roughly ₦42 above the official rate.
- Nigeria's external reserves dipped to $55.22 billion on October 30, central bank data showed.
The naira opened November on a slightly weaker note at the official foreign exchange market, trading at ₦1,347.94 per dollar on Monday, according to Central Bank of Nigeria (CBN) data. That is ₦1.68 weaker than the ₦1,346.26 recorded on Friday, the last trading day of October.
At the parallel market, where many Nigerians buy dollars outside the banks, dealers quoted about ₦1,390 per dollar on Monday. That was the same level as the previous week, suggesting the street market held steady even as the official rate slipped.
The gap between the two markets is now roughly ₦42 per dollar. For anyone buying foreign currency, that difference matters: at the official rate, $100 costs about ₦134,794, while at the parallel market rate it would cost around ₦139,000.
Why it matters for ordinary Nigerians
The exchange rate feeds directly into the cost of imported goods, from fuel and medicine to spare parts and food items. When the naira weakens, importers pay more for the same goods, and those costs often reach the market shelf.
Nigerians travelling abroad, paying school fees overseas or sending money for family obligations also feel the difference, since the rate they get decides how far their naira goes.
Vanguard reported that the official rate is calculated as a volume-weighted average of transactions in the Nigerian Foreign Exchange Market (NFEM), which serves as the benchmark for official currency deals. It advised Nigerians to confirm rates with their banks or licensed Bureau de Change operators before changing money, since quoted figures are indicative and can shift during the day.
Reserves edge lower
Separately, CBN data showed Nigeria's external reserves at $55.22 billion as of October 30, down slightly from $55.24 billion the day before. The reserves are the country's foreign currency savings, which the central bank draws on to support the naira and pay for imports.
The two reports differ on the parallel market figure: Vanguard quoted a selling rate of about ₦1,386.36 based on Sunday's quotes, while Daily Post put Monday's rate at ₦1,390.
What happens next depends on how much foreign currency flows into the market in the coming days. Traders will be watching whether the official rate holds near ₦1,348 or continues to slide through the week.
