Naira gains strength against dollar in both official and parallel markets

|By Babatunji Wusu-

The naira continued its upward trajectory on Thursday, appreciating against the United States dollar across both the official and parallel foreign exchange markets.

Data from the Central Bank of Nigeria (CBN) showed that the local currency firmed up to ₦1,525.83 per dollar, compared to ₦1,526.15 recorded the previous day. This represents a modest gain of ₦0.32, marking the fourth consecutive day of appreciation in the official market.

At the parallel market, also known as the black market, the naira made a more significant leap. It gained ₦10, trading at ₦1,560 per dollar on Thursday, up from ₦1,570 on Wednesday.

The sustained appreciation signals improved supply-side dynamics and market confidence, driven in part by policy interventions and rising foreign exchange inflows.

Market analysts attribute the trend to recent reforms by the apex bank aimed at enhancing liquidity and narrowing the gap between the official and parallel market rates.

As the naira begins July on a positive note, stakeholders remain hopeful that the momentum will continue, especially with inflationary pressures still impacting the cost of living and doing business in Nigeria.