With a N10 gain versus the US dollar on Monday, the naira got off to a solid start to the week. Following pressure at last week’s business closure, the naira strengthened against the US dollar at the Nigerian Foreign Exchange Market (NFEM). At the NFEM window on Friday, the official exchange rate ended the day at N1,475/$, down 1.37% from the previous week. According to a Coronation Merchant Bank Limited statement, foreign exchange inflows into the official market dropped by almost 33% week over week to $1.1 billion.Analysts who are optimistic about the spot rate told MarketForces Africa that the drop in US dollar volume partially explains the exchange rate volatility in the official currency market last week. The Central Bank of Nigeria (CBN) released updated foreign exchange data on Monday, showing that the naira closed at N1,465.29 per dollar, up 0.69%. Additionally, it was noted that the naira had a significant recovery from Friday’s N1482/$ quotation, reaching an intraday high of N1470. The CBN As part of its FX intervention, it sold $70 million to banks in order to maintain a steady exchange rate and a robust dollar supply.
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