By Gwurld4026 
Naira Appreciation: What N1,650/$ Means for Nigeria’s Economy
As of January 1, 2025, the Nigerian naira is trading at approximately ₦1,658 per US dollar in the parallel market.
This represents a significant depreciation compared to earlier rates. For instance, on December 14, 2024, the naira rebounded to ₦1,660/$1 in the parallel market after a period of volatility.
The Central Bank of Nigeria (CBN) has been implementing measures to stabilize the foreign exchange market. In October 2024, the CBN announced plans to automate foreign currency trades starting December, aiming to enhance transparency and reduce market distortions.
Despite these efforts, the naira has continued to experience fluctuations, reflecting ongoing challenges in Nigeria’s foreign exchange market.
The depreciation impacts various sectors of the economy, influencing import costs, inflation rates, and overall economic stability.
It’s important to note that exchange rates in the parallel market can differ significantly from official rates and are subject to rapid changes due to market dynamics.
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