Amid the foreign exchange crisis rocking the economy, it is pleasant to note that the Naira gained a little against the greenback.

This is a piece of pleasant news and it is pleasing to the ears.

Naira Stronger By 0.58% At NAFEM

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The Naira, recorded a 0.58% gain over the US dollar amid a decline in supply of the greenback at the official foreign exchange (FX) on Monday.

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After trading on Monday, the naira gained as the dollar was quoted at ₦‎1,617,96, stronger than ₦‎1,627.40 quoted on Friday at the Nigerian Autonomous Foreign Exchange Market (NAFEM), data from the FMDQ Securities indicated.

During the FX market trading, the intraday high rose to ₦1,650 per dollar on Monday, weaker than ₦1,640/$1 quoted on Friday.

The intraday low also depreciated to ₦1,511 per dollar as against ₦1,413/1 exchanged on Friday at NAFEM.

The dollar supply by willing buyers and willing sellers dropped by 67.56% to $96.13 million on Monday from $296.35 million recorded on Friday.

The Naira Improves

At the parallel market, commonly known as the black market, the naira hovered around ₦1,610 to ₦1,620 on Monday, as against ₦1,620 on Friday.

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The gap between the official and parallel market rates narrowed to ₦1, with the official rate at ₦1,617 and the average black market rate at ₦1,618.

Nigeria’s external reserves, which give the CBN the firepower to defend the naira have recorded 2.83% year-to-date accretion following inflows from foreign capital and remittances.

Data from the CBN revealed that foreign currency reserves increased to $34.11 billion as of March 7, 2024, from $33.17 billion at the beginning of the year.

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External reserves refer to the foreign currency and other assets held by a country’s Central Bank.

These reserves comprise foreign currencies, gold, and other international assets.

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