The Nigerian naira recorded a significant appreciation in the official foreign exchange market, rising to ₦1,494.03 per US dollar. This development marks a positive shift in the currency’s performance after weeks of volatility and depreciation.
According to data from the FMDQ Securities Exchange, which tracks the official forex market, the naira strengthened against the dollar following interventions by the Central Bank of Nigeria (CBN) aimed at stabilizing the currency.
Economic experts attribute the naira’s appreciation to a combination of factors, including increased dollar supply in the market, recent monetary policies by the CBN, and improved investor confidence. Additionally, the government’s efforts to curb currency speculation and illicit forex transactions have contributed to the gradual recovery of the naira.
Speaking on the development, a financial analyst, Dr. Olufemi Ajayi, noted that while the improvement is encouraging, long-term stability will depend on sustaining foreign exchange inflows and ensuring economic reforms that attract investors.
“The naira’s appreciation is a welcome development, but the government must continue to implement policies that strengthen investor confidence and increase foreign exchange liquidity. We also need to boost local production to reduce our reliance on imports, which places pressure on the currency,” Ajayi said.
Despite this positive movement, businesses and consumers remain cautious, as fluctuations in the exchange rate still pose challenges for pricing and economic planning. Many Nigerians are hopeful that the naira will continue to strengthen, easing inflationary pressures on goods and services.