The naira was on the rise during mid-week trading in the official market. The local currency maintained its upward trend, closing at N1,500.91 against the American dollar on the Nigerian Foreign Exchange Market.

This was the highest level ever recorded since March 5 on the Nigerian foreign exchange market. The local currency dropped below the N1,500/$ threshold in its trading sessions for the second time this week, marking a significant milestone in the Nigerian official market this year.

The Nigerian naira fluctuated between N1,498/$ – N1,507/$ bandwidth during the mid-week trading session, showing a strong recovery in the naira.

The domestic currency strengthened to N1,506/$ on Monday and maintained that level through Tuesday before improving further in the middle of the week.

The Nigerian currency, however, traded marginally lower at the unofficial market, settling at the N1510/$-1512/$ bandwidth.

The naira’s steady rise aligns with a vital period of continued confidence in Nigeria’s economic reforms. The CBN led efforts to restore stability in Nigeria’s foreign exchange market by implementing various monetary policy reforms, such as actions to stabilize exchange rates, reduce speculative trading, and attract foreign investment.

This move has reflected some positivity in Nigerian companies’ earnings listed in the stock market as businesses increasingly utilize the local currency and manage import costs more effectively.

The naira’s recent recovery offers cautious hope that ongoing stability in the naira might eventually ease inflationary pressures linked to import-dependent consumption.