Best Forex Brokers Nigeria 2022
In this article, we reviewed and tested multiple forex brokers serving traders based in Nigeria. The Central Bank of Nigeria (CBN) is the sole authority tasked with regulating online trading but is yet to start issuing licenses to Fores brokers.
Therefore, we compiled a list of reputable brokers licensed by tier 1 and 2 regulators globally that serve Nigerian traders.
We opened a real account and deposited between $4000-$8000 with each broker. Then, we placed live trades of the most popular assets to determine the actual spreads.
We also reached out to every broker’s customer support team to resolve any issues we encountered. Finally, we withdrew our funds to assess whether the withdrawal process was smooth.
We handpicked the best forex brokers based on the trading data collected and our experience as traders.
CBN Regulated Forex Brokers in Nigeria
Forex brokers in Nigeria are authorized by the Central Bank of Nigeria (CBN) to operate in Nigeria. The CBN’s website is www.cbn.gov.ng. We suggest investors and traders follow the CBN on Twitter, @cenbank, to get the latest news and updates.
Since the Central Bank of Nigeria (CBN) is yet to start licensing Forex brokers, we have listed five brokers regulated by top-tier regulators, such as the UK’s FCA, who accept Nigerian traders.
These are reputable brokers who adhere to the stringent rules set by tier 1 and 2 regulators. In addition, many of them offer customer deposit compensation schemes if the broker goes bankrupt.
We shall promptly update this list once the CBN starts issuing licenses to Forex brokers as the Nigerian Forex trading industry matures.
Some of the key highlights of trading with CBN regulated brokers:
|🏦Nigeria Regulator||Central Bank of Nigeria (CBN)|
|🛡️Is It safe to trade||Yes|
|🔒Negative Balance Protection||N/A|
|💰Compensation Scheme||No Compensation Scheme|
Best Forex Brokers in Nigeria
We tested and reviewed 5 forex brokers operating in Nigeria by opening live accounts, depositing real money, and placing actual trades to select the best forex brokers.
We wanted to accurately determine the actual spreads and commissions, the trading platform, deposit and withdrawal conditions, trader education, and customer service.
- Pepperstone – Best Overall Forex Broker in Nigeria
- FXTM – Best Forex Trading Platform Nigeria
- IC Markets – Best Forex Broker for Beginners in Nigeria
- XM Forex – Best MT4 Broker Nigeria
- HotForex – Lowest Spread & Trading Fees in Nigeria
Best Overall Forex Broker in Nigeria
We picked Pepperstone as the best overall forex broker in Nigeria. Pepperstone offers the full package for a good broker. Opening an account is smooth. The broker offers 9 deposit & withdrawal methods. The spread is competitive at 1.15 on EUR/USD along with zero limits on trading strategies.
Furthermore, the broker provides great educational and trading tools, including video tutorials, webinars, Autochartist and more. The broker recently added social trading platforms (Myfxbook and DupliTrade).
Best Forex Broker for Beginners in Nigeria
The best Forex broker for beginners in Nigeria is IC Markets, which has in-depth and well-structured educational content. The broker also holds frequent webinars that educate beginner traders on various aspects of trading.
Traders can learn about fundamental and technical analysis, including how to apply the same to their trading. The broker has invested heavily in its education program to give its clients a headstart when trading the markets.
Traders can learn via various formats, including high quality pre-recorded videos, written texts and live webinars.
Best MT4 Broker Nigeria
The best MT4 broker in Nigeria is XM, which offers the MT4 and MT5 trading platforms. The broker does not have its own proprietary trading platform, but offers the MT4 & MT5 platforms from Meta Quotes.
XM offers both the web version of the MT4 platform and the mobile and desktop version of the popular trading app to Nigerian traders.
Nigerian Forex Brokers List & Review
Here are other important details about the tests we conducted on the five Nigerian Forex brokers discussed above:
|Forex Broker||CBN Regulated||About Our Test||Our Review|
|Pepperstone||No||Deposit Amount: Over €6,000|
Total Trade: 12 trades
|FXTM||No||Deposit Amount: Over €6,000|
Total Trade: 12 trades
|IC Markets||No||Deposit Amount: Over €5,000|
Total Trades: 12
|IC Markets Review|
|XM||No||Deposit Amount: Over €5,000|
Total Trades: 12
FAQ & more on Nigerian brokers
Traders usually have numerous questions related to trading, for trading-related queries we pick and answered some of the most important questions related to Nigeria regulated brokers.
No Deposit Bonus Forex Brokers
Forex traders based in Nigeria can start trading Forex without having to deposit any of their money as some brokers offer no deposit bonuses.
Brokers that offer no deposit bonuses include XM, which offers a $30 no deposit bonus. Other brokers, such as FBS, offer a higher no deposit bonus at $100, but XM is our trusted choice given how long the programme has been running.
While the no deposit bonus is an easy way to start trading, you should know that most brokers have many rules regarding such bonuses, and you might have to trade a certain number of lots before you can withdraw your winnings.
Forex Brokers With Offices in Nigeria
Given that many of the brokers reviewed are headquartered and licensed in overseas countries, it was a relief to find that one of them has a local office in Nigeria.
HotForex and FXTM have actual offices in Lagos, Nigeria, that provides local support to Nigerian traders. In our experience, having a local support team typically improves the quality of customer service offered to clients.
The broker’s Nigerian clients are likely to be served by someone who understands the local culture and their needs on a deeper level.
Best Forex Brokers for Beginners
While our recommended broker for beginner traders is IC Markets there are other brokers that offer excellent training resources for beginners.
One such broker is XM, which has a detailed educational offering that equips beginner traders with most of the skills needed to trade the markets.
Pepperstone also has an excellent suite of educational materials for all levels of traders.
Swap-Free Forex Brokers in Nigeria
FXTM and Pepperstone are the two brokers that offer swap-free (Islamic) Forex trading accounts in Nigeria.
Tax in Nigeria for Forex Trading
Many Nigerian forex traders assume that they are not obliged to pay taxes for forex trading in Nigeria. However, this is just a misperception. In reality, forex trading gains are seen as capital gains in Nigeria. The taxation rate for Capital gains is usually 10%. All Nigerian residents should pay taxes for forex trading even if the profits are from an outside source.
Forex traders in Nigeria are responsible for filing tax forms to the Federal Inland Revenue Service. In case, they fail to pay taxes they may face penalties.
Author of this review
By George Rossi
Author of this review
I am a well-rounded financial services professional experienced in fundamental and technical analysis, global macroeconomic research, foreign exchange and commodity markets and an independent trader.
Now I am passionate about reviewing and comparing forex brokers.
Everything you find on BrokerTested is based on reliable data and unbiased information. We combine our 10+ years finance experience with readers feedback. Read more about our methodology