The naira weakened at Nigeria’s official foreign-exchange window on Wednesday after strengthening during the previous two trading sessions, while its parallel-market value was unchanged. The move came as the country’s external reserves continued to climb.
Key takeaways
- The naira closed at N1,329.21 per dollar on Wednesday, compared with N1,320.25 on Tuesday.
- The currency lost N8.96 after appreciating on both Monday and Tuesday in the formal market.
- Its parallel-market rate held steady at N1,490 per dollar.
- Nigeria’s external reserves rose to $54.28 billion on Tuesday.
Naira reverses two-day advance
Data from the Central Bank of Nigeria showed the currency’s first official-market decline of the week on Wednesday. The naira’s rate moved from N1,320.25 per dollar on Tuesday to N1,329.21, representing a N8.96 drop.
The retreat followed gains recorded on Monday and Tuesday, when the naira strengthened against the US currency in the formal foreign-exchange market.
Parallel rate unchanged as reserves increase
In the black market, the naira maintained Tuesday’s level of N1,490 to the dollar on Wednesday. There was therefore no change in the parallel-market rate despite the official-market pullback.
The latest currency movement occurred as Nigeria’s external reserves rose further, reaching $54.28 billion on Tuesday.
