Currency traders have attributed the recent performance of the naira and the relative stability of the foreign exchange (forex) market to the excess dollar supply and the activities of the security agencies against forex speculators and hoarders.
They listed other factors contributing to the good performance of the local currency, including the effectiveness of the Central Bank of Nigeria (CBN) in implementing its policies, enhanced fiscal buffers, investors’ confidence, a favorable balance of payments position, higher foreign inflows, positive market sentiments, and others.
The forex market has been relatively stable, with the naira showing signs of recovery and appreciating at the parallel market to N1,535/$1 on Tuesday, July 29, 2025, from N1,580/$1 as of July 1, 2025.
