Stable FX Demand, Supply Keeps Naira Stable at N1,549
The Nigerian naira spot rate saw little change on the back of stability in demand and US dollar supply volume in the forex market. FX trading data obtained from the Central Bank of Nigeria (CBN) showed that the official exchange rate for the day settled at N1549.2616 per greenback, from a previous quote of N1549.0368.
The naira’s exchange rate has been projected to continue to trade between N1500 and N1600 due to sustained FX intervention supported by the CBN. The improvement in macroeconomic numbers and sustained economic reform programs have been noted to boost foreign investors’ sentiment and confidence in the financial market.
This has continued to draw FX inflows, including improved FX receipts from exporters. The latest OMO bill rounds conducted helped the naira’s stability, analysts said in a chat with MarketForces Africa.
In the second quarter, the fixed income market has seen higher levels of open market operations activities. Foreign portfolio investors increased participation boosted US dollar inflows into the market significantly, reducing the CBN FX intervention action in June. In the parallel market, the naira settled at ₦1,585 per dollar in the absence of significant FX demand pressures. Naira Sees Weekly Gain Amidst Zero FX Intervention
