Naira Rebounds at Official Market as External Reserves Climb to $45.82bn

|By Babatunji Wusu

The naira on Thursday reversed its midweek loss, appreciating against the United States dollar at the official foreign exchange market, according to data from the Central Bank of Nigeria.

Official figures showed the local currency strengthened to N1,419.28 per dollar, improving from N1,420.04 recorded on Wednesday. The movement represents a N0.76 gain on a day-to-day basis.

At the parallel market, however, the naira traded flat. Checks with multiple Bureau De Change operators in Wuse Zone 4, Abuja, confirmed that the currency remained unchanged at N1,490 per dollar, the same rate recorded a day earlier.

The rebound at the official window coincided with a further uptick in Nigeria’s external reserves, which rose to $45.82 billion as of January 14, up from $45.78 billion the previous day. Analysts note that improving reserves typically bolster confidence in the foreign exchange market.

The latest appreciation follows a mild dip on Wednesday, when the naira slipped marginally against the dollar before regaining ground.