Nigeria’s naira strengthened against the U.S. dollar in official trading on Thursday, reaching its highest level in over a week as foreign exchange market volatility continued to ease.
According to official exchange rate data published by the Central Bank of Nigeria (CBN), the weighted average Nigerian Foreign Exchange Market (NFEM) rate appreciated to N1,357.65 per dollar on Thursday.
The local currency gained N2.93 from N1,360.58 recorded on Wednesday, marking a steady recovery from N1,365.69 posted on August 7 amid tight trading ranges across regional dealer desks.
Intraday trading metrics showed narrower price dispersion, with the day’s highest executed rate standing at N1,359.50 while the lowest trade executed at N1,356.00 per dollar.
The sustained stabilization follows the apex bank’s recent policy measures designed to boost official market liquidity, streamline clearing operations, and absorb excess system liquidity through targeted yield adjustments.
Broader macroeconomic indicators show gross foreign exchange reserves consolidating above key thresholds, providing the central bank a crucial buffer to defend the currency against external shocks and portfolio outflows.
