The Nigerian currency, the Naira, appreciated against the dollar on Monday, gaining strength in both the parallel market and the Nigerian Foreign Exchange Market (NFEM).
In the parallel market, also known as the black market, the naira strengthened to ₦1,545 per United States (US) Dollar, improving from ₦1,550 per dollar recorded last weekend.
Naija News reports that this marks a ₦5 appreciation in favour of the local currency.
The naira also appreciated at the official window, according to data released by the Central Bank of Nigeria (CBN).
Figures from the CBN showed that the exchange rate at the NFEM closed at ₦1,528.65 per dollar, compared to ₦1,532 per dollar recorded last Friday. This represents a ₦3.35 gain for the naira within the official market.
As a result of the gains, the exchange rate gap between the parallel and official markets narrowed. The margin dropped to ₦16.35 per dollar, down from ₦18 per dollar as of last weekend.
The recent appreciation, according to market analysts, could be attributed to improved dollar liquidity and increased regulatory interventions by the apex bank.
Meanwhile, just recently, the Special Adviser to President Bola Tinubu on Media and Publicity Communication, Sunday Dare, stated that some individuals will never forgive the incumbent President for floating the Naira and removing fuel subsidy.
Naija News reports that Dare stated this on Saturday during an interview on the Mic On podcast.
When asked what part of the bear Tinubu had poked, he replied that some stakeholders had tried to stop the oil subsidy removal.
He also made reference to the floating of the naira, disclosing that certain individuals became billionaires within months under the previous administration.
According to him, “Look at the reforms that are ongoing. Take the oil sector. Some of these things are off the radar.
“You know how many people benefit from the subsidy value chain? Nigerians from all parts of the country.
“I don’t want to characterise them as the oil mafia. But we know there are people who tried to stop the oil subsidy removal.
“Let’s take the floating of the Naira. Billionaires were created within months under the previous government. The arbitrage was massive.
“Tinubu had the choice to let it go. To let the party go on. In any case, everyone would have benefited from it. But he put a stop to it.
“In that chain, there are people today who will never forgive Tinubu for floating the naira and removing the subsidy from forex.”