Naira Records Marginal Gain on the Dollar,.Exchanges for N1,615

After fluctuating in value for a while, the naira appreciated to N1,615.00/

1 at the official foreign exchange market on Tuesday, marking a slight improvement from Monday
closing rate of N1,629.00/1.

This marginal gain is a positive sign for the local currency, which has been under pressure in recent times due to volatility in the foreign exchange market.

According to data published on the Central Bank of Nigeria’s (CBN) official website, the naira’s appreciation is a result of renewed interventions by the apex bank aimed at easing pressure on the local currency and reducing volatility in the foreign exchange (FX) market. The CBN has been working tirelessly to stabilize the FX market and prevent further depreciation of the naira, and Tuesday’s gain is a testament to the effectiveness of these efforts.

The official exchange rate of N1,615.00/$1 represents a 0.87% appreciation of the naira against the United States dollar, and is seen as a positive development for businesses and individuals who rely on foreign exchange for their operations.

The gain is also expected to have a positive impact on the country’s inflation rate, as a stronger naira will reduce the cost of imports and help to stabilize prices.

Market analysts have attributed the naira’s appreciation to the CBN’s sustained intervention in the FX market, as well as improved dollar liquidity. The apex bank has been injecting dollars into the market to meet demand and prevent a shortage of foreign exchange, which has helped to reduce pressure on the naira.

The naira’s appreciation has also been driven by improved investor confidence in the Nigerian economy, following a series of positive economic indicators in recent months.

The country’s GDP growth rate has been steadily increasing, and the inflation rate has been trending downwards, making Nigeria an attractive destination for foreign investors.

The naira’s appreciation is expected to have a positive impact on the economy, particularly on businesses that rely on foreign exchange for their operations. The gain is also expected to boost investor confidence and attract more foreign investment into the country.

As the naira continues to appreciate, market analysts are predicting a further strengthening of the currency in the coming days. With the CBN’s continued intervention in the FX market and improved dollar liquidity, the naira is expected to remain stable and competitive, making it an attractive currency for investors and businesses alike.