Naira Appreciates in Official Market Ahead of Eid-ul-Fitr

The Nigerian Naira strengthened significantly against the US dollar at the official foreign exchange market on Tuesday, marking a second consecutive day of appreciation ahead of the Eid-ul-Fitr holidays.

According to data from the Central Bank of Nigeria (CBN), the official exchange rate improved to ₦1,344.42 per dollar, up from ₦1,357.77 on Monday. This represents a gain of ₦13.35 in a single day, accelerating from the ₦8.46 appreciation recorded the previous day.

The positive movement at the official window contrasts with the parallel market, where the Naira held steady at ₦1,430 per dollar, unchanged since Friday. This divergence highlights the persistent gap between the two rate segments.

This strengthening occurs despite a marginal decline in Nigeria’s foreign Exchange reserves. CBN data shows reserves fell to $49.87 billion as of March 16, 2026, from $50.01 billion on March 12.

The forex market will conduct its final trading session for the week on Wednesday, followed by public holidays on Thursday and Friday for Eid-ul-Fitr. The sustained appreciation at the official rate provides a potential buffer for importers and businesses ahead of the extended break, though the stable higher rate on the black market indicates ongoing market segmentation.

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