The naira continued to show strength against the dollar, closing at N1,255/$, up from its February low of N1,915/$ at the Bureau De Change segment of the Nigerian Foreign Exchange market.
The appreciation of the Naira is in tandem with projection by Goldman Sachs that the value of the naira relative to the dollar will increase to N1,200 over the next 12 months.
This is just as the Naira appreciated significantly against the US dollar throughout March 2024.
Official figures show that the Naira closed the month at N1309/$1 on the last trading day, up from N1595.11/$1 at the end of February 2024.
The 21.8 per cent gain by the Naira is linked to the policies and interventions by the Central Bank of Nigeria (CBN) aimed at stabilising and strengthening the national currency.
In the parallel market, the Naira saw an even more pronounced recovery. The exchange rate improved from N1600/$1 in February to N1250/$1 in March, representing a 28 per cent gain in one month highlighting the effectiveness of the measures taken to bridge the gap between the official and unofficial currency markets.
The gains in the official and parallel market are the largest seen in over 5 years. Before now, the exchange rate was fixed at about N450/$1 for almost two years and around N380/$1 between 2020 and early 2021.
