The naira appreciated in the parallel market on Tuesday, strengthening to N1,755 per dollar from Monday’s rate of N1,770 per dollar. Similarly, the currency gained value in the Nigerian Autonomous Foreign Exchange Market (NAFEM), reaching N1,659.44 per dollar compared to Monday’s rate of N1,675.62. The narrowing gap between these rates reflects a promising improvement in market stability.
Data from FMDQ shows that the NAFEM exchange rate dropped by N16.18, while dollar trading volumes surged 219.5%, reaching $425.98 million from $108.79 million the previous day. The increase in trading activity highlights growing confidence in the foreign exchange market.
This upward trend reduced the margin between the parallel market and NAFEM rates to N95.56 per dollar, down from Monday’s N117.38. These developments suggest a positive trajectory for Nigeria’s currency amid ongoing efforts to stabilize exchange rate dynamics.
