The naira maintained a relatively stable performance against major global currencies throughout the week, with modest fluctuations recorded in exchange rates against the US Dollar, British Pound (UK), Euro (EU), and Chinese Yuan.
Highlights:
• USD/NGN: The naira saw a slight appreciation from ₦1595.64 on May 21 to ₦1580.26 on May 24 before adjusting to ₦1587.80 on May 25.
• GBP/NGN: The pound exchange rate rose slightly by week’s end, peaking at ₦2151.87 on May 25 after dipping midweek.
• EUR/NGN: Rates remained relatively stable, with the euro ending the week at ₦1805.10.
• CNY/NGN: The yuan held steady around the ₦220 mark, despite a brief drop in data availability on May 24.
Analyst Insight:
Analysts attribute the naira’s mild strengthening to sustained FX liquidity injections and improved oil receipts, which helped support external reserves. However, they caution that persistent inflation and external debt obligations may still pressure the naira in the medium term.
Market watchers expect modest fluctuations to continue in the coming week, especially as the Central Bank prepares for policy adjustments and external macroeconomic influences shape trading sentiments.
