The Nigerian naira maintained its stability during the fourth trading session of the week, holding at the N1,550/$ support line despite the US dollar index reaching a two-year high. The Central Bank of Nigeria’s (CBN) foreign exchange reforms have improved liquidity and confidence, with the naira strengthening to N1,540/$, a N5 gain from the previous day. The black market rate remained stable at N1,660/$.
The CBN’s recent reforms, including the Bloomberg BMatch trading system launched on December 2, 2024, have improved market transparency and efficiency. Additionally, Nigeria’s successful Eurobond issuance, raising $1.77 billion, has boosted liquidity.
Meanwhile, the US dollar index has risen due to the Federal Reserve’s rate cuts, which led to a surge in Treasury yields. The US economy showed strong growth, with a revised GDP increase of 3.1% in the third quarter.
