- Safiu Kehinde
The Naira has recorded a gain of N4.22 against the United States Dollar at the official market on Tuesday.
As contained in a data published by the Central Bank of Nigeria, Naira currently stands at N1,401.40 against the US dollar at the Nigerian Autonomous Foreign Exchange Market.
The marginal recovery reflected improved demand and supply dynamics at the official window after recent volatility in the foreign exchange market.
The gain represents a 0.3 per cent appreciation compared with Monday’s closing rate of N1,405.62 to the dollar at the same market.
Market analysts said the improvement signalled a brief respite for the naira after days of sustained pressure.
“The naira showed mild recovery on Tuesday after opening the week on a weaker note,” a currency trader familiar with the market said.
The local currency had recorded a two-week decline before the latest rebound at the official window.
On Monday, the naira depreciated by 0.8 per cent, opening the trading week on a negative note.
Analysts noted that movements in the official market continue to reflect liquidity levels and interventions by monetary authorities.
They added that sustained stability would depend on increased foreign exchange inflows and improved investor confidence in the market.