Demand for foreign exchange by end-users in Nigeria fell by 35.23 per cent to $3.42bn in April 2026, easing pressure on the dollar market as the naira recorded modest gains. Central Bank of Nigeria data showed that FX utilisation across economic sectors declined during the month.
The naira’s monthly average exchange rate improved by 1.38 per cent to N1,361.22 per dollar in April, from N1,379.98 in March. At the end of April, the currency closed at N1,374.94 per dollar at the Nigerian Foreign Exchange Market, compared with N1,386.72 at the end of March.
Visible imports accounted for 41.92 per cent of total FX utilisation, while invisible imports made up 58.08 per cent. Industrial activities were the largest users among visible imports at 37.44 per cent, followed by manufactured products at 21.85 per cent, oil imports at 20.11 per cent and food products at 14.47 per cent.
Among invisible imports, financial services dominated, accounting for 91.51 per cent of utilisation. Business services represented 4.37 per cent, transport services 2.58 per cent and communication services 0.84 per cent.
Activity in the official FX market also weakened, with average monthly turnover falling by 26.97 per cent to $442.54m from $605.93m in March. Despite the lower turnover, Nigeria’s net FX position improved as net inflows rose to $5.85bn from $4.16bn.
Aggregate FX inflows declined to $8.71bn from $9.70bn, but outflows fell more sharply to $2.86bn from $5.54bn. The banking system’s net outflow also dropped to $180m from $1.66bn, while autonomous sources generated a net inflow of $6.02bn.
The CBN said external reserves remained broadly stable at $48.32bn at the end of April, compared with $48.35bn in March, providing about 10 months of import cover. The combination of weaker dollar demand, reduced outflows and stronger net FX inflows helped ease pressure on the currency market and supported the naira’s relative stability during the month.
