The Nigerian naira recorded a modest appreciation yesterday, gaining ground against the US dollar in both the parallel and official foreign exchange markets.
In the parallel market, the naira strengthened to N1,392 per dollar, up from N1,396 per dollar recorded on Tuesday. A similar trend was observed in the Nigerian Foreign Exchange Market (NFEM), where the currency rose to N1,369 per dollar from N1,389 per dollar the previous day, reflecting a N20 gain according to data released by the Central Bank of Nigeria (CBN).
The movement highlights a narrowing of pressures on the local currency in the official market, even as disparities between different trading platforms persisted. As a result, the margin between the parallel and official exchange rates widened sharply to N23 per dollar, compared with a N5 per dollar gap on Tuesday.
Market analysts attribute the shift to increased liquidity and improved demand-supply dynamics in the official market, although the parallel market remains influenced by external pressures and speculative activity.
The CBN continues to monitor these developments closely, maintaining interventions to ensure stability in the naira’s value and to reduce volatility across trading platforms.