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The Nigerian Naira sustained its positive run against the United States Dollar in early trading on Friday, April 3, 2026, opening around ₦1,378 per Dollar at the official market as the week’s final session got underway.

Activity across both official and parallel markets reflects a gradual return to stability, supported by improved liquidity and ongoing policy measures.

Official Market Performance (NFEM)

At the Nigerian Foreign Exchange Market (NFEM), the Naira recorded a slight appreciation at the start of trading.

By mid-morning, the currency was exchanging at an average of ₦1,378.26 per Dollar, extending gains from the previous day’s closing rate of ₦1,382.45.

Analysts attribute the improved stability in the official window to the Central Bank of Nigeria’s upgraded Electronic Foreign Exchange Matching System (EFEMS).

The platform has boosted transparency and enhanced price discovery, helping to curb the sharp fluctuations often seen at the beginning of a new month.

Market participants say foreign exchange supply from autonomous sources and portfolio investors has remained strong enough to meet corporate demand.

Parallel Market Trends

In the parallel market, the Naira also strengthened, mirroring the improved outlook in the formal segment.

Currency traders across key cities such as Lagos, Abuja, and Kano quoted the Dollar at between ₦1,400 and ₦1,410.

The gap between official and parallel market rates remains relatively tight, ranging from about ₦22 to ₦32.

This narrowing spread is seen as progress in efforts to unify exchange rates, as it discourages arbitrage and encourages more users to rely on formal banking channels.

Economic Drivers and Reserves

Several factors continue to support the Naira’s performance:

External Reserves: Nigeria’s foreign reserves are estimated at about $49.50 billion, providing a strong buffer against external pressures and helping the apex bank stabilise the market.

Oil Revenue Stability: Prices of Bonny Light crude have remained above $100 per barrel, ensuring steady foreign currency inflows into the economy.

Monetary Policy: The Central Bank’s tight monetary stance, including elevated interest rates, has made Naira assets more attractive to foreign investors, boosting demand for the currency.

Market Outlook

Financial experts expect the Naira to close the week within the ₦1,375 to ₦1,390 range at the official window.

While global economic shifts and local demand patterns remain key risks, current trends point to a more stable and predictable foreign exchange market.

Attention now turns to upcoming inflation figures and the Central Bank’s next policy decisions, which are expected to shape the Naira’s direction in the coming weeks.



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