The Nigerian naira opened trading on Christmas Eve with mild fluctuations against the United States dollar across both the official and parallel exchange markets.

According to Vanguard, data obtained on the morning of December 24, 2025, from the Nigerian Foreign Exchange Market and various Bureau De Change locations indicated that the local currency remained within a relatively stable range, despite heightened seasonal demand for foreign exchange.

At the official market window, the naira was trading at an average rate of N1,453.70 to the dollar.

Early morning trading activities recorded a high of N1,460.75 per dollar before the exchange rate moderated as liquidity conditions improved in the market.

The movement represented a slight appreciation when compared to the closing rate of N1,461.50 per dollar recorded at the end of trading on Tuesday.

The Central Bank of Nigeria was said to be closely monitoring developments in the market, with the “Mean” or simple average exchange rate hovering around the N1,454 level.

Market operators noted that although the festive season typically leads to increased demand driven by corporate obligations and personal travel, the official market has remained resilient due to sustained interventions and improved foreign currency inflows from diaspora remittances.

In the parallel market, commonly referred to as the black market, the dollar continued to trade at a premium to the official rate.

Independent checks and reports from BDC operators in Lagos and Abuja showed buying rates ranging between N1,465 and N1,475 per dollar.

Selling rates in the informal market were observed to be between N1,480 and N1,490 per dollar.

The margin between the official and parallel market rates remained relatively narrow, a development analysts attributed to the exchange rate convergence policies being implemented by financial authorities.

Despite this narrowing gap, the informal market continued to witness higher transaction volumes as retail buyers sought quicker access to foreign currency for holiday-related spending.

Analysts also observed that the relative stability of the naira in the final week of 2025 marked a contrast to the sharp volatility experienced during similar periods in previous years.

Financial experts attributed the calmer market conditions to improved balance between supply and demand, as well as a more transparent price discovery process within the NFEM framework.

As the year draws to a close, market participants expect the naira to trade within the N1,450 to N1,500 range, provided there are no major disruptions from global economic developments.