By Idriss LAWAL
The foreign exchange (forex) market witnessed a significant growth in liquidity in the first half of the year, with daily turnover regularly racing towards $1 billion.
Data from the Central Bank of Nigeria (CBN) website showed daily turnover crossing the $900 million mark, with nearly $1.82 billion daily transaction value recorded on May 12.
Available Nigeria Foreign Exchange Market (NFEM) data show that more than $31 billion worth of foreign exchange was traded in the official market between March and June 2026, underscoring a substantial improvement in market depth.
Unlike previous periods when liquidity depended largely on periodic interventions, turnover remained consistently strong throughout the second quarter, with daily trading frequently ranging between $500 million and $1 billion.
Transactions within the period showed that on May 12, $1.82 billion (highest daily turnover on record under the NFEM framework) was achieved, followed March 10, $1.14 billion; March 13, $1.13 billion and June 30, $1.07 billion were recorded.
Also on June 15, $985.6 million was recorded, folowed by March 23, $984.1 million; April 8, $966.4 million; June 25, $923.6 million and June 29, $910.8 million.
Market analysts note that the sustained increase in turnover is more significant than isolated spikes because it indicates broader participation by buyers and sellers, reducing pricing distortions and improving overall market efficiency.
Market analysis showed that March recorded three trading sessions with turnover above $980 million, while April maintained strong liquidity with transactions reaching $966.4 million on April 8 and $802.4 million on April 29.
May emerged as the busiest month of the first half after recording the record $1.82 billion traded on May 12.
