The Nigerian Naira showed signs of strength against the US dollar on Tuesday, recording appreciations in both the parallel market and the Nigerian Autonomous Foreign Exchange Market (NAFEM).
In the parallel market, the Naira appreciated to N1,270 per dollar compared to N1,290 per dollar recorded last week Thursday, indicating a positive movement for the local currency.
Similarly, in the NAFEM, the Naira strengthened to N1,278.58 per dollar, as indicated by data from FMDQ. This marks a significant improvement from the previous rate of N1,309.39 per dollar observed last week Thursday. The appreciation in the NAFEM resulted in a notable N30.81 increase in the value of the Naira against the dollar.
With these developments, the margin between the parallel market rate and the NAFEM rate narrowed significantly to N8.58 per dollar, compared to N19.39 per dollar reported last week Thursday. This reduction in the margin signifies a closer alignment between the exchange rates in the parallel and official markets.