Nigerian Naira Strengthens Against US Dollar, Touches N1302
The Nigerian naira strengthened against the US dollar, closing at N1315 for official transactions executed in the local foreign exchange market on Thursday.
The local currency is heading close to N1300 following a steady appreciation against the US dollar and other crosses in the forex market.
Data released by the Central Bank of Nigeria (CBN) showed that the spot FX rate was settled at N1315.6717 per greenback at the official window, from N1326.6862 the previous day.
The exchange rate has improved by about N17 since the beginning of the month, supported by adequate FX liquidity supplied by market participants.
Transactions were conducted between N1302 and N1324 per dollar during the trading session, Broadstreet analysts said in a chat with MarketForces Africa.
FX market analysts said the local currency gained N11 per US dollar, as financial institutions’ activities as market makers increased, driving a significant surge in turnover.
According to data obtained from the Apex Bank, NFEM interbank FX turnover edged higher by more than 62% on the day to $152.042 million from $93.655 million the previous day.
The number of deals cut at the interbank FX market increased to 153, according to CBN data, up from 105 reported the previous day.
Elsewhere, Nigeria’s gross external reserves inched close to $54 billion following fresh inflows from across global sources. The robust external reserves position is expected to bolster the naira position against Western currencies in Q3.
Naira Gains Value as Nigeria’s Foreign Reserves Reach $53.3bn
