Naira maintains stability amid interbank turnover

The Nigerian Naira remained stable during Tuesday’s trading session, maintaining its position within the 1,380 range against the dollar as the Central Bank of Nigeria (CBN) continues its efforts to achieve price discovery and market stability.

According to data from the Nigerian Foreign Exchange Market (NFEM), the official closing rate settled at ₦1,386.75 per US Dollar.

This follows a Monday session that saw a weighted average rate of ₦1,383.58. Throughout the day’s activities, market volatility remained relatively contained, with the currency touching a session high of ₦1,391.00 and a low of ₦1,380.00, reflecting a narrowing spread that suggests increasing liquidity and more transparent pricing.

The interbank segment remains the primary engine of this stability.

Latest figures indicate a robust interbank turnover exceeding $145 million, facilitated through 115 successfully executed deals.

This level of activity underscores a consistent appetite from authorized dealers and corporate entities, further supported by the CBN’s ongoing monetary policy stance, which currently holds the Monetary Policy Rate (MPR) at 26.5% to curb inflationary pressures.

In the retail and specialized segments, rates for Invisibles which include Personal Travel Allowance (PTA), School Fees, and Medical bills hovered around the ₦1,395 mark at various commercial banks.

Meanwhile, the British Pound and the Euro were quoted at official cross rates of approximately ₦1,767 and ₦1,533 respectively, maintaining their correlation with international market movements.