On Friday, the Naira maintained its upward trend versus the US dollar, averaging N950/$ on the parallel market.
Compared to the N1,120 it traded for on Thursday, this is a rise of N170, or 15.18%, in the value of the local currency.
In addition, the naira is strengthening for the second day in response to the Central Bank of Nigeria’s decision on Thursday to reduce part of its foreign exchange backlog.
Speaking about the development, Bureaux De Change operators stated that the market is still responding favourably to the CBN’s action, which is why the naira is continuing to appreciate.
The trader who went by simply Awolu remarked, “Today’s dollar is N950 if you want to buy it.”
Another trader named Kadri said that he presently buys at N900/$ but sells at N950. “The dollar is falling,” he said. If you would like to sell, it is N900. But if you want to purchase, it’s N950.
According to Taura, another currency trader, the naira was worth N1,015/$ in his region. “If you want to sell, it’s N980,” he remarked. However, it costs N1,015 if you wish to purchase it.
Muhammad went on, “The naira is declining significantly.” It continues to fail. Now, it is N970. The N10 distinction exists between purchasing and selling.
The firming of the naira has been attributed to the CBN’s efforts to reduce its backlog, according to Aminu Gwadabe, President of the Association of Bureaux De Change Operators of Nigeria.
Indeed, this is a result of the CBN’s efforts to reduce its backlog, he stated. The market is sending forth a nice signal. The CBN ought to keep providing explanations.
It was reported on Thursday that the nation’s top bank has started paying debtors for unpaid matured foreign exchange futures.
Unverified reports claimed that the CBN fully paid the loans owed to three banks: Standard Chartered Bank, Stanbic IBTC, and Citi Bank.
