The Nigerian naira strengthened against the U.S. dollar at the official foreign exchange market on Monday, gaining N8.07 to close at N1,349.53 per dollar.
The latest movement extends the currency’s recent run of gains at the official market.
Naira Extends Winning Streak
Data from the Central Bank of Nigeria (CBN) showed that the naira improved from the N1,357.60 per dollar recorded at the close of trading on Friday.
The Monday appreciation represents a 0.6 per cent increase in the value of the naira against the dollar.
The CBN’s official exchange-rate data identifies the Nigerian Foreign Exchange Market (NFEM) rate as the official exchange rate for the day.
Four Consecutive Days of Gains
The latest appreciation continues a sustained strengthening trend that began during the previous week.
The naira has now recorded gains for four consecutive trading days, according to the figures reported by the CBN.
The movement comes as activity and liquidity conditions in Nigeria’s foreign exchange market continue to influence the exchange rate.
The official rate reported for Monday was also independently reflected at about N1,349.54/$, with the daily change calculated at approximately 0.60 per cent.
What the Latest Gain Means
The naira’s appreciation means fewer naira were required at the official market to buy one U.S. dollar compared with Friday’s closing rate.
A stronger official exchange rate can ease the naira cost of dollar-denominated imports and other foreign-currency obligations, although the broader impact on prices depends on several factors across the economy.
The latest movement is part of a wider period of relative strengthening for the currency. Market data also showed the naira gaining ground against the dollar during the preceding sessions.
