GBP/NGN strengthens as Pound gains against Naira in official and parallel markets

The Pound Sterling opened the week with an upward movement against the Nigerian Naira on March 30, 2026, amid heightened activity in global foreign exchange markets and reactions to recent economic indicators from both London and Abuja.

Official Market (NFEM)
In the Nigerian Foreign Exchange Market (NFEM), the Pound showed a consistent rise during Monday morning trading. It opened at ₦1,824.75 and increased to approximately ₦1,834.95 by mid-morning, representing a 0.56% gain within a short trading window.

The appreciation follows a period of relative calm in the previous week. Market observers point to rising demand for the Pound driven by international payments as the first quarter concludes. The market continues to benefit from liquidity support provided by the Central Bank of Nigeria (CBN), alongside the Electronic Foreign Exchange Matching System (EFEMS), which promotes transparency.

Parallel Market Activity
The informal forex market also reflected similar trends, with the Pound trading between ₦1,910 and ₦1,940 for selling, while buying rates stood close to ₦1,895 across key locations such as Lagos and Abuja.

Despite the continued presence of a parallel market premium, the disparity between official and unofficial rates has narrowed compared to previous years. Currency traders attribute this to improved access to forex through Bureau De Change (BDC) operators, helping to limit abrupt speculative fluctuations during quarter-end trading cycles.

Key Influencing Factors
The Pound’s strength is being shaped by several macroeconomic elements, including the Bank of England’s policy stance on inflation, Nigeria’s external reserves holding near $50 billion, and increased foreign investor participation in Nigeria’s financial markets, all of which contribute to maintaining relative stability for the Naira.

Market Outlook
The Pound is expected to trade within a stable range as the session progresses, with market watchers monitoring potential CBN interventions aimed at reducing volatility. The current convergence between official and parallel market rates is seen as a positive signal for individuals and businesses managing foreign currency obligations.

Africans Angle News