The Naira continued has to gain strength last week, closing at N1,500 to a dollar at the official Nigerian Foreign Exchange Market.
This rebound was fueled by growing demand for the naira, reduced speculative trading, and rising foreign reserves, which stood at $41.66 billion as of September 11.
Experts say the foreign exchange reforms introduced by the Central Bank of Nigeria (CBN), under Governor Olayemi Cardoso, are restoring stability to the exchange rates and boosting the economy.
They note that measures put in place to promote transparency, accountability, and better dollar access are paying off, helping to sustain the naira’s recent positive trend.
Steady progress since early September
CBN data shows the naira traded between N1,498 and N1,507 per dollar during the latest trading session.
This continues the upward momentum that started in early September, when the currency opened at N1,526.09 per dollar.
The steady climb, according to analysts, signals renewed investor confidence and reflects the central bank’s determination to sanitize the forex market.
“The reforms are starting to show results, and that is why we are seeing this level of stability,” an analyst said.
Parallel market follows official gains
The parallel market also followed the same path, with the naira strengthening to trade between N1,515 and N1,517 per dollar during the week.
This convergence between the official and parallel markets is being described as a sign of healthier balance in the system, reducing the usual sharp gap between the two rates.
