Exchange Rate: FX Traders Price US Dollar at 1485 Naira
The naira was priced at 1485 to the US dollar in the forex market on Thursday as FX demand undercut the supply side. The local currency has gained strongly against major foreign currency pairs on the back of rock-solid FX liquidity in the market.
FX inflows have flooded in from international oil companies, foreign portfolio investors, and exporter activities. The Central Bank of Nigeria started its aggressive FX intervention, one of its kind, in December, and this has helped the naira to survive the onslaught from increased US dollar demand.
2025 started with tepid FX interventions, but it didn’t take long before the Apex Bank mood. The latest pattern revealed the authority has again become aggressive in backing the local currency. This has favoured the official exchange rate and would more like boost appetite for more imported goods, which would also enhance the cycle.
Hence, the Nigerian foreign reserves declined successively, settling at $39.773 billion, falling down the three-year high level.
In a latest disclosure, the CBN said it has cleared the $7 billion FX backlog after auditors completed examination of the claims. Analysts predict that the naira has the capability to trade stronger against foreign currency at a level that reflects its fair value. #Exchange Rate: FX Traders Price US Dollar at 1485 Naira Edun Highlights Nigeria’s Leadership in Africa’s Energy Transition
