The value of the Naira has hit a six-month high at the beginning of trading activities on Monday, closing at N1,506.84 to one US dollar, the highest it has been since March 5, 2025.
Analysts had expressed optimism on the Naira, as it appreciated last week on both the official and parallel markets. At the close of trading on Monday, the Naira had appreciated by 0.56 per cent or N8.02 from N1514.86, which it sold to the dollar at the official end of the market last week.
This is the strongest the Naira had been at the official end of the market since March 5, 2025, when it sold at N1,500.8 to the dollar at the parallel market, Naira further strengthened appreciating to N1,527 to the dollar its highest level in over a month.
Last week, the value of the Naira had closed at N1,530 to the dollar. This was an improvement from N1,539 to the dollar, which it sold at the beginning of trading activities for September and last week. It had appreciated slightly to N1,538 on Wednesday, before its further gain to N1,535 and N1,530 on Friday.
According to analysts, the value of the naira was expected to remain stable on a positive note on the backdrop of improved investor confidence in the Nigerian economy. Analsysts at Cordros Research, in an emailed note, said they expected Naira stability to persist on the back of resilient forex market liquidity.
“Renewed capital inflows should be supported by the anticipated Fed rate cut and broader easing in global yields, which would enhance investor appetite for naira assets. Concurrently, improving non-oil export receipts and diminished incentives for speculative positioning in the naira are likely to sustain the momentum of domestic inflows,” they stated.
