Despite CBN Intervention, As Naira Weakens To 1,479/dollar

The total value of transactions recorded at the official Nigerian Autonomous Foreign Exchange Market dropped from $465.29 million on Tuesday to $203.93 million on Wednesday, according to data obtained from FMDQ Exchange on Thursday.

The FMDQ website indicates that there has been a 56% decline in the volume and value of transactions on NAFEM, the official foreign exchange market.

This drop in FX transactions was followed by a series of circulars from the Central Bank of Nigeria, which caused the value of FX transactions on the platform to gradually climb.

On Thursday, amid robust demand for dollars, the naira dropped 1.4% against the dollar at the parallel market.

At N1,480/$, it traded, N20 less than the N1,460/$ posted on the underground market on Wednesday.

Abdulahi Taura, a BDC operator, said the dollar was rising owing to a consistent demand for the greenback.

“The dollar has increased to N1,480. People are still demanding it and that’s why it’s increasing.”

Another BDC operator, Ibrahim Yahu, said the greenback was sold at the closing rate of N1,482.

“Today, we closed at the rate of N1,482 to the dollar. If there is no demand, prices will certainly come down but our consistent thirst for the dollar is making it to rise gradually against the naira.” [CONTINUE READING HERE]