The optimism follows the CBN's previous intervention last week, where they injected $15.88 million into the market at a rate of N1,101 per dollar. This move by the apex bank helped to stabilize the naira on the streets. The CBN typically sells dollars to BDCs at a more competitive rate compared to the official market (NAFEM).

This recent development aligns with the forecast from investment bank Goldman Sachs, who predicted the naira would reach N1,000 and be among the world's best-performing currencies.

The naira's strengthening reflects the effectiveness of recent Central Bank measures. These include a cumulative interest rate increase of 600 basis points and initiatives to address dollar scarcity, a key factor driving volatility and pushing businesses towards the parallel market.

While Goldman Sachs remains optimistic about the naira's trajectory, their 12-month forecast is still N1,200 per dollar. This cautious approach reflects uncertainties surrounding the CBN's ability to maintain the current reform momentum.

The upcoming CBN dollar sales are expected to further strengthen the naira. The success of the CBN's interventions will be crucial in determining the long-term stability of the Nigerian currency.