Naira Strengthens Against Dollar Across Official, Parallel Markets

The Nigerian currency closed the week on a positive note as the naira appreciated against the U.S. dollar in both official and parallel markets.

Data from the Central Bank of Nigeria (CBN) showed the naira gained ground at the official window, trading at ₦1,531.57 per dollar on Friday, compared to ₦1,535.47 on Thursday. This marks a ₦3.9 day-on-day appreciation, the strongest gain recorded during the week.

In the parallel market, the trend was similar. The naira rose by ₦5, exchanging at ₦1,543 per dollar on Friday, up from ₦1,548 the previous day.

This latest development marks the third consecutive day of appreciation at the official window, a movement attributed to improved market confidence and a boost in Nigeria’s external reserves. According to CBN data, reserves climbed to $41.26 million as of August 29, up from $41.24 million earlier in the week.

The consistent strengthening of the naira is expected to ease pressure on the foreign exchange market and improve investor sentiment going into the new month.