Naira Maintains Gaining Strength Against Dollar, Reaching 7-Month High, and Ending at N1000/$1 on the Parallel Market

The parallel market saw the naira appreciate against the dollar for the first time since September 26, 2023, when it touched N1000/$.

The value of the naira in relation to the US dollar has continued to rise, reaching a seven-month high and closing at N1000/$1 on the black market.

The naira continued its upward trajectory on the Nigerian Autonomous Foreign Exchange (NAFEM) official window on Monday, extending its gain of one month to close at N1,136.04/$, up N6.32 from Friday’s close of N1,142.38/$1. 

The National Bureau of Statistics (NBS) revealed that the Consumer Price Index (CPI), which gauges the rate of change in the prices of goods and commodities, increased further to 33.20 percent in March 2024 from 31.70 percent in February. This news led to an appreciation of the national currency.

The naira’s increase versus the US dollar on the black market was the first since September 26, 2023, when it last hit this level.

However, the daily foreign exchange (FX) turnover decreased by 10.57 percent on Monday, coming in at $251.60 million as opposed to Friday’s $281.34 million.

In addition, the highest spot rate that was noted on Monday was N1,227, while the lowest spot rate was N1,000.

In the meantime, the headline inflation rate increased 11.6% year over year from the 22.04 percent recorded in March 2023.