Victor EzejaOn Wednesday, the Naira maintained its upward trajectory, closing at N1,596.70 to one US dollar at the official market.
Data from the Central Bank of Nigeria (CBN) indicates that the naira appreciated by N3.33 against the US dollar when compared Tuesday’s NFEM rate of N1,600.03. This indicates a 0.21 percent rise.
Join our WhatsApp ChannelThis is the third consecutive day of recording appreciation within the week. The local currency had opened the week on a positive note, gaining N5.71 (0.36 per cent). It further rose by 0.02 percent against the dollar on Tuesday.
The naira, again appreciated drastically against the dollar at the official foreign exchange market to end Wednesday on a negative note.
The Central Bank of Nigeria’s data showed that the naira strengthened further to N1,596.7 per dollar on Wednesday from N1,600.030, which was recorded on Tuesday.
This means that Nigeria’s currency appreciated by N3.33 against the dollar on a day-to-day basis.
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Meanwhile, the naira remained flat at N1,630 per dollar, at the black market, the same rate recorded on Tuesday.
Analysts have attributed the recent strengthening of the Naira to improved foreign currency availability and consistent CBN interventions.
Additionally, market watchers observe that the currency’s relative stability in recent days may be attributed to growing trust in monetary policy measures.
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Despite persistent economic challenges, recent trends indicate cautious optimism among foreign exchange market traders and investors.
As the nation works to stabilize its economy and attract international investment, the performance of the Naira is being closely watched.
As the Consumer price index which measures inflation rate is being expected this week, the CBN has also fixed the Monetary Policy Committee meeting next week to review outcomes of the implementation of its monetary policy on interest rates, inflation, and overall economic activity.
Victor Ezeja is a passionate journalist with seven years of experience writing on economy, politics and energy. He holds a Master's degree in Mass Communication.
