Naira Hits N1,372.41 per Dollar, Records Highest Weekly Appreciation at Official Market

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The Naira recorded its strongest gain against the United States dollar this week at the official foreign exchange market on Wednesday, firming up to N1,372.41 per dollar.

Data from the Central Bank of Nigeria showed the Naira strengthened by N7.27 against the dollar, moving from N1,379.68 traded on Tuesday to N1,372.41 on Wednesday. This marks the highest day-to-day appreciation in the week under review.

Black Market Steady as Official Rate Gains

At the black market, the Nigerian currency remained flat at N1,139.5 per dollar on Wednesday, unchanged from the rate traded on Tuesday. The divergence between the official and parallel market rates has widened, with the official rate now stronger by over N233 per dollar.

In the past two days, the Naira has appreciated consistently against the dollar at the official foreign exchange market, according to Daily Post reports.

Foreign Reserves Rise to $51.46 Billion

The development comes as the country's foreign reserves rose further to $51.46 billion. The increase in reserves provides additional support for the Central Bank's efforts to stabilise the currency and meet foreign exchange demand.

CBN Revokes Licences of 46 Microfinance Banks

On Wednesday, the Central Bank of Nigeria withdrew the operating licences of 46 microfinance banks, including illegal credit and Sycamore banks. The regulatory action is part of the apex bank's ongoing efforts to sanitise the financial sector and protect depositors.

For Nigerian businesses and consumers, the sustained appreciation of the Naira at the official window could signal improved liquidity in the foreign exchange market, potentially easing import costs and reducing pressure on prices of imported goods in the coming weeks.

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