Naira Closed at N1,366.20 per Dollar in Nigeria’s FX Market
The official exchange rate closed at N1366.20 per dollar at the Nigerian foreign exchange market (NFEM) window on Friday, a slight daily depreciation of a basis point from the previous closing rate.
Daily FX data released by the Central Bank of Nigeria (CBN) revealed that the spot rate touched an intraday low of N1361, a signal that there was slight pressure after hitting N1348 low during the week.
According to CBN data, the naira closed at N1366.1954 per dollar, from N1366.0573 the previous day amidst growing external reserves.
In the parallel market, the naira rose by 0.03% to ₦1,430/$, indicating differing currency pressures between the regulated official segment and the informal foreign exchange market.
During the week, the Currency traded within the range band of ₦1,348.00 and ₦1,396.00 per USD, showing consistent appreciation across all trading sessions.
At the close of the week, the Naira strengthened by ₦20.36 per USD to close at ₦1,366.19 compared to ₦1,386.55 recorded previously.
FX analysts expect this trajectory to continue, largely driven by rising external reserves, renewed foreign portfolio inflows, and declining speculative demand, among others. Overall, near-term FX market stability is expected to persist, underpinned by policy measures and improving market confidence.
Nigeria’s foreign reserves maintained an uptrend, gaining $632.38 million during the week to close at $46.91 billion, up from $46.27 billion recorded the previous week.
The dollar’s gains this week seemed to be largely technical in nature as the correction to the sharp losses from mid- to late January are retraced. The momentum indicators warn that the upside correction may have more room to run. CBN Cuts 1-Year Treasury Bill Rate by 138bps, Rejects Bids
