The Naira strengthened against the US dollar, rising to N1570.14/$, while weakening against the British pound, which hit a two-year high. The Central Bank of Nigeria’s efforts contributed to the Naira’s stability, but businesses still anticipate further depreciation before potential recovery later in 2024 or early 2025.
The Naira showed resilience in Friday's trading, gaining ground against the US dollar while weakening against the British pound, which hit a two-year high. FMDQ data revealed that the Naira appreciated to N1570.14/$ from Thursday’s N1586.1/$, marking a N16 improvement.
On the black market, the Naira strengthened from N1620/$ to N1615/$. The Central Bank of Nigeria's (CBN) efforts to stabilize the exchange rate, alongside a weaker dollar due to dovish Federal Reserve signals, contributed to this performance. Despite this, a recent CBN survey indicated that Nigerian businesses anticipate further Naira depreciation before any potential recovery in late 2024 or early 2025.
Globally, the US dollar fell against major currencies, with the euro and yen gaining strength. The British pound rose to $1.32295, its highest since March 2022, bolstered by positive UK economic indicators and consumer confidence.
