Official exchange rate closes at 1,609.51 naira against one dollar

The Nigerian naira saw a slight improvement in its naira exchange rate against the US dollar on Thursday, February 29th, 2024.

According to a report by Nairametrics, the naira exchanged at N1609 to the dollar, appreciating by 0.4% from its previous rate of N1615.

This data was published on the FMDQ, the official platform for forex trading.

At the same time, the dollar experienced a 1.24% gain against naira at the parallel market. Market analysts attribute these movements to the recent media briefing by the Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso.

During the briefing, Cardoso discussed the CBN’s efforts to stabilize the naira and curb inflation.

One of the key announcements made during the briefing was the increase in the monetary policy rate by the Monetary Policy Committee (MPC) from 18.75% to 22.75%.

This adjustment was aimed at slowing down the pace of inflation. Cardoso also highlighted the discussions held by the MPC regarding distortions in the foreign exchange market, including the activities of speculators that were driving up the exchange rate and contributing to inflationary pressures.

Cardoso expressed confidence that the ongoing reforms in the foreign exchange market would yield positive results in the short to medium term. These efforts by the CBN are expected to bring stability to the naira and alleviate inflationary pressures in the Nigerian economy.