The Naira has made significant gains against the US Dollar in the foreign market, buoyed by the Central Bank of Nigeria’s comprehensive policy interventions.
According to data from FMDQ, the Naira strengthened to N1419.86 per Dollar on Monday, up from N1435.53 on Friday, marking a 1.1% increase. Additionally, the parallel market saw the Naira trading at 1410 per US dollar on Friday, a rise from N1440 the previous week.
Over the past week, the CBN, under the leadership of Governor Olayemi Cardoso, has implemented four policy reforms to combat the Naira’s decline. Last week, the CBN issued a ‘Financial Markets Price Transparency and Market Notice of a revision to the FMDQ FX Market Rate Pricing Methodology,’ leading to the Naira weakening from N891.90 per US dollar on January 26th to N1410 on Monday.
In another move, the CBN released guidelines aimed at curbing foreign currency hoarding and speculation. Furthermore, fresh guidelines for International Money Transfer Operators in Nigeria were issued, removing the cap on the exchange rate quoted by IMTOs.
