Naira Gains Against US Dollar in Official Forex Market, Faces Slight Dip in Parallel Market

In a noteworthy turn of events, the Naira experienced a substantial gain as the workweek commenced in the official foreign exchange market. According to data from FMDQ, the Naira strengthened to N838.95 per dollar on Monday, marking a notable improvement from its Friday closing rate of N890.54 per dollar, a commendable 5.79% gain or N51.79 increase in the local currency.

However, contrasting this positive trend, the Naira encountered a marginal depreciation in the parallel forex market. The exchange rate was quoted at N1,265 per US dollar, indicating a modest 0.40% decrease compared to the previous day’s closing rate.

This fluctuation follows a recent $2.25 billion foreign exchange boost loan granted to the Nigerian government by the African Import-Export Bank just over a week ago. Despite the official forex market’s depreciation, the Naira continues to navigate the dynamic landscape of the foreign exchange market since the Central Bank of Nigeria floated the country’s currency on June 14 last year.