Naira appreciation continues as investor confidence grows, backed by reforms, rising reserves, and Nigeria’s FATF grey list exit
Naira appreciation continued on Monday, with the local currency trading at ₦1,452.79 to the dollar at the official foreign exchange market, marking a fresh sign of resilience in Nigeria’s economy.
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Data from the Central Bank of Nigeria revealed that the Naira gained ₦5.16 from Friday’s rate of ₦1,457.95, representing a 0.35 per cent rise.
This steady performance extends the weeklong positive trend recorded earlier, reflecting growing market stability.
The Association of Bureau De Change Operators of Nigeria (ABCON) praised the sustained Naira appreciation, attributing it to several macroeconomic improvements.
Dr Aminu Gwadabe, ABCON’s President, highlighted Nigeria’s recent removal from the Financial Action Task Force (FATF) grey list, rising oil revenue, stronger foreign reserves, and increased diaspora remittances as key factors behind the momentum.
According to Dr Gwadabe, the Naira gained ₦10.00 against the dollar in the parallel market on Monday, underscoring the positive impact of Nigeria’s improved international standing.
He described the development as a “powerful validation” of ongoing economic reforms and credited it for boosting investor confidence and foreign inflows.
He also noted that the Central Bank’s success in lifting foreign reserves to around 42.26 billion dollars had provided a solid buffer for the currency, curbing speculation and fostering stability.
“The sustained stability has reduced speculation. Speculators’ activities have been rendered ineffective in the market,” Dr Gwadabe said.
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With growing investor trust and continued structural reforms, analysts believe the Naira appreciation could set the stage for longer-term recovery in Nigeria’s financial landscape.
