At the close of business at the parallel market on Tuesday, a day after the new year break, the Naira traded at 363-naira per dollar. This was the same rate it closed before the New Year break on Friday.

The local currency, which has been hovering around 365/dollar for some months, rose to 364/dollar as the Christmas holiday approached.

The naira later rose to 364 per dollar last week before closing at 363 per dollar on Friday.

Foreign exchange traders and currency analysts had predicted that the naira would be stable during the Christmas and New Year holidays.

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They said the Central Bank of Nigeria’s regular interventions through the injection of dollars into the market would deter currency speculators from making a bet on the naira.

The naira has been hovering at 360 per dollar at the Investors and Exporters FX Window, while it has been quoted at 306.05 at the official market, the level at which the Central Bank has been intervening.

The CBN has been injecting dollars into the forex market on weekly basis in the past few months.

Since February, CBN’s series of dollar injections into the economy has risen to about $8 billion and analysts believe it would continue its intervention this year to keep the naira from weakening again. 

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