By Seun Ibiyemi
The Nigerian naira recorded a mild appreciation against the United States dollar on Thursday, supported by improved foreign exchange supply from investors, exporters, and oil companies, according to market data.
The local currency traded around ₦1,356 per dollar in the official market, strengthening from about ₦1,374 recorded the previous week, reflecting continued but gradual recovery in the FX market.
Analysts attributed the performance to increased dollar inflows and relatively moderate demand for foreign exchange, which helped sustain recent gains.
Market participants also noted that attractive yields in Nigerian assets have continued to draw foreign portfolio inflows, adding pressure on the dollar side.
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Earlier in the week, the naira had already shown signs of steady improvement, appreciating to about ₦1,362 per dollar before further strengthening in subsequent trading sessions.
Despite the gains, traders caution that the market remains sensitive to shifts in crude oil earnings, foreign reserve levels, and speculative demand, which could influence short-term volatility.
Overall, the naira’s recent performance signals cautious optimism in Nigeria’s foreign exchange market, even as policymakers continue efforts to stabilize liquidity and sustain investor confidence.
