By Daniel Edu
In a significant turn of events in the financial landscape, the Nigerian naira has experienced a substantial gain in the Nigerian Foreign Exchange Market (NAFEM), reaching N874.79 per dollar. This marks a remarkable 19% increase from its previous rate of N1,082.32 per dollar reported on Wednesday.
Data sourced from FMDQ indicates that the indicative exchange rate for NAFEM witnessed an appreciation of N207.53, signifying a noteworthy strengthening of the naira.
During the day’s trading, the intraday high peaked at N1,264.96 per dollar, while the low touched N475 per dollar, resulting in a significant margin of N789.96 per dollar. The total volume of dollars traded in the NAFEM reached a substantial $110.41 million.
In parallel, the naira demonstrated an upward trend in the parallel market, appreciating to N1,240 per dollar from N1,250 per dollar recorded on the preceding day.
However, this positive development has led to a widening gap between the official NAFEM rate and the parallel market rate. The difference now stands at N365.21 per dollar, compared to N167.68 per dollar observed on the previous day.
These recent fluctuations in exchange rates underscore the dynamic nature of Nigeria’s foreign exchange market, with significant implications for the nation’s economy. The performance of the naira in both NAFEM and the parallel market remains a crucial indicator of Nigeria’s economic well-being, drawing attention from businesses, investors, and policymakers alike.