The Naira appreciated in the Nigerian Autonomous Foreign Exchange Market (NAFEM) as the local currency appreciated by 5.4 per cent and sold against the US Dollar at N1,552.92/$1 on Monday, October 14, as the domestic currency recorded an N88.25 gain versus N1,641.27/$1 which it was valued at the previous session on Friday.
This happened even as supply fell at the session as turnover published on the FMDQ Group website stood at $343.71 million indicating that the session’s turnover dropped by 44.3 per cent, indicating a decrease of $273.02 million compared to $616.73 million published the previous day.
US Dollar demand pressures eased at the beginning of the week following $50 million FX auction sales to local banks last week.
Equally, the domestic currency also witnessed gains against the Pound Sterling and the Euro. On the British currency, the local currency made a rise of N36.64 to wrap the session at N2,089.62/£1 from N2,126.26/£1 that it sold at the previous session.
Against the Euro, the Nigerian currency closed at N1,749.12/€1 versus N1,772.69/€1, indicating an N23.57 depreciation.
In the FX market, the Naira has been fluctuating for several months despite the Central Bank of Nigeria’s interventions.
The Central Bank of Nigeria(CBN) introduced the Electronic Foreign Exchange Matching System (EFEMS) in October 2024 for foreign exchange transactions in the NAFEM.
The Naira closed flat at N1,673.55 to the US Dollar, making no movement from the price it sold at the market last week.
Meanwhile, the Naira weakened its value marginally against the Pound Sterling in the official market by 67 Kobo to sell at N2,137.36/£1 compared with the preceding session’s N2,136.69/£1.
It followed a different route against the Euro as it appreciated 47 Kobo to quote at N1,829.82/€1 versus the previous day’s rate of N1,830.29/€1.
The local currency also pulled an 81 Kobo depreciation to close on the Canadian Dollar at N1,201.66 against Wednesday’s N1,202.47 per CAD.
