Naira-and-Dollars (2) (1).webp
The naira appreciated to N1605/$1 at the black market ahead of the Eid holidays, continuing a short winning streak in both official and parallel markets.
  • According to Nairametrics, the naira rose from N1610/$1 on Wednesday to N1605/$1 on Thursday
  • In the official market, it closed at N1,564/$1 on Wednesday, improving from Monday’s N1,580/$1
  • Gains were also recorded against the Pound and Euro after midweek fluctuations
  • Analysts credit the improvement to holiday-driven naira demand and foreign inflows
  • Market watchers say convergence between official and parallel rates is gradually improving
While the naira’s brief rally offers some optimism, underlying volatility remains. Analysts suggest the appreciation is largely seasonal, spurred by pre-Sallah spending and tighter supply from the recent Bureau De Change recapitalisation deadline. For now, the narrowing gap between official and street rates could signal improved policy alignment, but sustained gains will depend on stable inflows and better FX liquidity across all channels.

With Eid around the corner and confidence inching up, the big question is, can the naira hold this line beyond the holidays?