The Naira began trading on Monday with slight gains at the Nigerian Foreign Exchange Market (NFEM), opening at ₦1,377.80 against the Dollar.
This marks a modest improvement compared to the ₦1,380.79 recorded at the close of the previous week.
Market activity in the official window remains stable, supported by the Electronic Foreign Exchange Matching System (EFEMS), which continues to improve transparency and pricing efficiency. The system has helped maintain relative stability in the exchange rate, keeping it close to the ₦1,380 range despite global pressure from a stronger Dollar.
Several macroeconomic factors are influencing the current trend, particularly Nigeria’s foreign exchange reserves. Although reserves recently stood at $49.29 billion after debt servicing, projections by the Central Bank of Nigeria suggest they could rise to $51.04 billion, supported by oil earnings and foreign inflows.
The Monetary Policy Committee has also maintained a benchmark interest rate of 26.5%, aimed at controlling inflation and attracting foreign investors to Naira-denominated assets.
In addition, reforms in the remittance sector are contributing to increased foreign exchange supply, with more diaspora funds now being routed through formal banking channels.
