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Total FX Spot and Derivatives turnover rose 11.02 percent week-on-week to $2.63bn in the week ended September 25.
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Spot transactions accounted for 98.51 percent of total activity after rising 10.62 percent to $2.59bn during the week.
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FX derivatives turnover also recovered, increasing 46.42 percent to $39.21m after recording weaker activity in the previous week.
September 30, (THEWILL) – Nigeria’s foreign exchange market recorded a rebound in trading activity in the week ended September 25, with total turnover across the FX Spot and Derivatives markets rising 11.02 percent to $2.63bn.
Market data released by FMDQ Group showed that total weekly turnover increased by $260.85m from $2.37bn recorded in the previous week ended September 18.
The recovery followed a sharp contraction in the preceding week, when total FX turnover fell by about 30 percent from nearly $3.4bn to $2.37bn, driven largely by weaker derivatives activity.
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Spot market drives weekly recovery
The increase was largely driven by the FX Spot market, which accounts for the overwhelming majority of trading activity on the official market.
Spot turnover rose 10.62 percent week-on-week, increasing by $248.42m from $2.34bn to $2.59bn.
The increase pushed average daily spot turnover to $517.59m from $467.90m in the preceding week.
Spot transactions accounted for 98.51 percent of total FX market turnover during the week, underscoring their dominance over forward and other derivatives transactions.
The recovery in spot activity points to stronger trading volumes between authorised dealers and their clients during the week, following the decline recorded in the previous reporting period.
Derivatives activity also rebounds
FX derivatives, which comprise instruments such as FX forwards, also recorded a significant percentage increase during the week.
Turnover in the segment rose 46.42 percent to $39.21m from $26.78m in the previous week, representing an increase of $12.43m.
The increase lifted average daily derivatives turnover to $7.84m from $5.36m and raised the segment’s share of total market activity from 1.13 percent to 1.49 percent.
Despite the recovery, derivatives remained a relatively small part of overall FX trading compared with the spot market.
Across both segments, average daily FX turnover increased to $525.43m from $473.26m in the previous week.
The latest figures indicate a renewed increase in activity in Nigeria’s official FX market after the sharp decline recorded in the previous reporting period, with the rebound driven overwhelmingly by higher spot-market transactions.
Ogochukwu Onwaeze is a writer specializing in business and economic journalism. At THEWILL News Media, she translates market trends, financial developments, and policy shifts into clear and engaging stories.
