The Nigerian naira is at its strongest level in the unofficial market this year amid improved market fundamentals and ongoing reforms by the Central Bank of Nigeria.
The naira buying price in the black market was quoted at N1,520/$ in the early hours of Tuesday in Nigeria’s business capital.
The price action highlighted increased participation in the Nigerian stock market despite a drop in Treasury bill yields and increased incentives for naira-denominated investments.
In addition, the CBN’s FX sale to BDC operators amid a drop in FX demand provided Naira bulls with enough ammunition to breach the N1,500/$ support line.
The Nigerian currency is experiencing a rare period of stability, one year after a precipitous decline against the dollar.