The naira appreciated marginally at the Nigerian Autonomous Foreign Exchange Market (NAFEM), closing at N1,364.00 per US dollar on 7 August from N1,365.10/$1 the previous trading day, according to Central Bank of Nigeria (CBN) data.
The N1.10 appreciation represents a 0.08% gain, extending the recent period of relative stability in the official foreign exchange market despite persistent demand for dollars.
In the parallel market, the Naira was stable at N1,415/$ as well as flat at N1,055 against the Canadian Dollar. It appreciated to N1,870 against the British pound as well as recording a 0.32% appreciation against the Euro to close at N1,575.
A notable premium remains between the official and parallel market exchange rates with the official rate at N1,364/$1 and the parallel market at N1,415/$1, the spread stands at approximately N51 per dollar.
Reserves Continue Recovery
Nigeria’s external reserves also edged higher, reinforcing confidence in the country’s foreign exchange position. Gross reserves increased to $52.032 billion as of 6 August, up from $52.005 billion a day earlier, representing a 0.05% increase.
The steady rise in reserves provides additional support for the CBN’s efforts to maintain liquidity in the foreign exchange market and manage volatility without significant intervention.
