The Naira gained strength in the parallel market on Monday, appreciating to N1,555 per dollar, compared to N1,570 per dollar recorded last Friday.
However, the currency weakened in the official Nigerian Foreign Exchange Market (NFEM), closing at N1,512 per dollar, down from N1,511 per dollar last weekend.
Data from the Central Bank of Nigeria (CBN) indicated that the exchange rate depreciation in the official market resulted in a marginal N1 drop for the Naira.
Despite the parallel market’s improvement, the gap between the unofficial and official exchange rates narrowed to N43 per dollar, down from N59 per dollar recorded last Friday.
Financial analysts attribute the fluctuations to continued market volatility and the CBN’s foreign exchange interventions.
“The appreciation in the parallel market reflects improved dollar liquidity, but the slight depreciation in the official window suggests ongoing pressure on the Naira,” a forex trader in Lagos noted.
