Naira Strengthens Across Markets on Oct 23

The naira appreciated against the U.S. dollar on Thursday, October 23, recording gains 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 ₦1,485/$1 for buying and ₦1,495/$1 for selling, up from Wednesday’s closing rate of ₦1,500/$1.

At the official window, the local currency also strengthened to ₦1,460/$1, representing a ₦3.33 gain from Wednesday’s ₦1,463/$1.

Analysts attributed the naira’s relative stability to the Central Bank of Nigeria’s (CBN) sustained interventions aimed at improving market liquidity and stabilizing the exchange rate.

They, however, cautioned that persistent dollar shortages, strong import demand, and policy uncertainty could still threaten long-term currency stability.

Experts further noted that an improved reserve position gives the CBN more capacity to intervene in the FX market, reducing the risk of sharp devaluations or speculative attacks.