The Nigerian currency, Naira, kicked off the week on a positive note, gaining strength against the US dollar in both official and parallel foreign exchange markets.

According to data from the Central Bank of Nigeria (CBN), the Naira appreciated to N1,497.11 per dollar on Monday, up from N1,500.7 traded on Friday last week. This translates to a gain of N3.11 at the official FX market.

In the black market, the Naira also strengthened, trading at N1,500 per dollar on Monday, compared to N1,505 on Friday. This represents a gain of N5 in the parallel FX market.

The Naira’s appreciation is a continuation of its positive trend over the past week, during which it recorded more gains than losses. Notably, the currency strengthened by N60 at the black market last week.

However, financial expert Bismark Rewane, CEO of Financial Derivatives, has sounded a cautionary note. Despite the Naira’s gains, Rewane pointed out that the CBN still spent $8 billion to defend the currency at the FX market, indicating that the Naira’s struggles are far from over.