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    The Nigerian naira opened the week on a mixed but relatively steady note, trading at about ₦1,371 per dollar at the official Nigerian Foreign Exchange Market (NFEM) and ranging between ₦1,395 and ₦1,405 in the parallel market on Monday, May 18, 2026, as forex demand pressures persisted across key segments.

    At the official window, trading activity showed slight but controlled movement.

    The currency fluctuated within an intraday band of roughly ₦1,369 to ₦1,374 per dollar, reflecting ongoing market adjustments as buyers and sellers reacted to limited dollar liquidity.

    Market participants described early trading as calm, though mild pressure emerged later in the session. Despite this, the naira avoided sharp swings, suggesting a degree of short-term stability in the official market.

    In the informal market, the dollar remained stronger against the naira. Traders in Lagos and Abuja quoted buying rates around ₦1,395, while selling prices climbed to about ₦1,405, with little variation across major trading hubs.

    The spread between official and parallel market rates remained comparatively narrow. This is being linked to sustained efforts by the Central Bank of Nigeria to support liquidity and manage volatility in the foreign exchange system.

    Some currency dealers say improved dollar allocation to authorised participants has helped ease panic-driven demand. However, underlying pressure from importers and end-users continues to influence market behaviour.

    In recent weeks, the naira has largely moved within a band of ₦1,360 to ₦1,380 at the official market, a range analysts say suggests cautious stability rather than strong appreciation.

    Economic observers note that broader external conditions, including oil price trends, foreign reserves performance, and investor sentiment, will remain key factors shaping the naira’s direction in the near term.

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