The Central Bank of Nigeria (CBN) has stated that recent movements in the foreign exchange market between 3 and 4 April 2025 reflect broader global macroeconomic shifts currently affecting several Emerging Market and Developing Economies.
The apex bank attributed the weakening of the Naira at the official window to the recent tariff war spearheaded by the United States President, Donald Trump.
In the update on FX Market Developments between 3–4 April 2025, released on Saturday, Omolara Omotunde Duke, Director of the Financial Markets Department of the CBN, said, “These developments were as a result of the recent announcement of new import tariffs by the United States government on imports from several economies, which has triggered a period of adjustment across global markets.”
As a result of this, and in line with its commitment to ensuring adequate liquidity and supporting orderly market functioning, the CBN said it sold a total sum of US$197.71 million to Authorised Dealers on Friday, 4 April 2025.
She observed that crude oil prices have also weakened—declining by over 12 per cent to approximately US$65.50 per barrel—presenting new dynamics for oil-exporting countries such as Nigeria.
“In line with its commitment to ensuring adequate liquidity and supporting orderly market functioning, the CBN facilitated market activity on Friday, 4 April 2025, with the provision of US$197.71 million through sales to Authorised Dealers,” Duke said.
According to her, this measured step aligns with the Bank’s broader objective of fostering a stable, transparent, and efficient foreign exchange market.
She added that the CBN continues to monitor global and domestic market conditions and remains confident in the resilience of Nigeria’s foreign exchange framework, which is designed to adjust appropriately to evolving fundamentals.
The CBN reminded all Authorised Dealers to adhere strictly to the principles outlined in the Nigeria FX Market Code and to uphold the highest standards in their dealings with clients and market counterparties.
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