Nigeria’s foreign exchange market recorded its sharpest weekly decline in trading activity this year, with total transactions falling by forty-six point five seven per cent to one point six three one billion dollars in the week ended July tenth.
According to data from FMDQ, total foreign exchange turnover dropped from three point zero five three billion dollars recorded in the previous week, representing a decline of one point four two billion dollars.
The report shows that average daily turnover also fell sharply from six hundred and ten point six million dollars to three hundred and twenty-six point two million dollars during the five-day trading period.
Foreign exchange spot transactions accounted for the largest decline, dropping by more than forty-six per cent to one point five eight billion dollars, while forward transactions also fell by over forty-five per cent to fifty-one point two million dollars.
Market analysts say the decline reflects a return to normal trading levels after unusually high activity recorded in the first week of July, driven by reduced import financing demand and lower interbank market activity.
Despite the slowdown, analysts note that overall market liquidity remains stable, with transaction volumes broadly in line with levels recorded in late June under Nigeria’s unified market-determined exchange rate system.