Lagos, Nigeria | September 8, 2025 – Nigeria’s foreign exchange (FX) market recorded total inflows of $2.80 billion in August, reflecting renewed confidence and stronger domestic participation, according to figures released by the FMDQ Exchange.
The report showed that the inflows, a combination of local and foreign sources, underscore the continuing resilience of the Nigerian Foreign Exchange Market (NFEM) despite global economic pressures. Analysts say the figures point to sustained efforts by the Central Bank of Nigeria (CBN) and market operators to stabilize the naira and improve liquidity.
Market watchers attributed the positive performance largely to increased domestic inflows, including remittances, export earnings, and improved investor sentiment following recent government reforms. Foreign participation, though still below pre-crisis levels, also contributed to the rise.
A breakdown of the FMDQ data indicates that local investors provided the bulk of the inflows, easing pressure on the CBN’s interventions in the market. This has led to relatively improved supply conditions, even as demand for dollars remains high across key sectors such as manufacturing, importation, and services.
Commenting on the development, financial analysts stressed the need to sustain reforms aimed at boosting investor confidence, diversifying export earnings, and curbing illicit financial flows. They warned, however, that structural challenges—including inflationary pressures, trade imbalances, and oil sector volatility—could limit long-term stability unless addressed.
The $2.80 billion inflow marks one of the strongest monthly performances this year, reinforcing expectations that Nigeria may be on course to achieve greater FX market stability by the final quarter of 2025.
