Naira Extends Gains Across Markets on Sept 22

The naira continued its upward gain against the US dollar on Monday, September 22, appreciating in both the parallel market and at the Nigerian Foreign Exchange Market (NAFEM).

Currency dealers in Abuja told Economic Confidential that the naira traded at ₦1,510/$1 for buying and ₦1,520/$1 for selling, an improvement from Friday’s closing rate of ₦1,525/$1. The local currency also recorded a notable gain of ₦15.33 compared to the same period last week.

At the official window, the naira strengthened further to ₦1,487.9/$1, up from Friday’s closing rate of ₦1,498/$1.

Analysts attributed the performance to recent reforms by the Central Bank of Nigeria (CBN) aimed at improving transparency in the FX market, reducing distortions, and narrowing the gap between official and parallel market rates.

They also pointed to the latest inflation figures, which showed headline inflation easing to 20.12% year-on-year in August from 21.88% in July, as a significant factor boosting investor confidence and supporting the naira’s strength across markets.