x

Naira gains, exchanges for N565/$1 at parallel market

The Nigerian naira gained marginally against the US dollar at the parallel market to trade at N565 per dollar.

This figure is N5 or 0.9 percent higher than the N570 it traded last week.

Street traders across forex markets in Lagos who spoke to TheCable on Wednesday quoted the naira at N565 to a dollar.

A parallel market (street market) is characterised by noncompliant behaviour with an institutional set of rules.

The CBN has consistently maintained that the parallel market represented less than one percent of foreign exchange (FX) transactions and should never be used to determine Nigeria’s naira/dollar exchange rate.

Checks by TheCable showed that the country’s foreign reserves have dipped by $53 million in the last 20 days.

Ahead of yuletide, it is expected that the Central Bank of Nigeria (CBN) will intervene at the forex market by pumping more dollars to avert sharp fall.

According to data on the CBN website, foreign reserves dropped from $41.1 billion at the beginning of December to $40.6 billion as at December 20.

On the official market side, the naira appreciated by 0.02 percent to open at N414.04 to a dollar on Wednesday, according to data on FMDQ OTC Securities Exchange, a platform that oversees official foreign-exchange trading in Nigeria.

Following the halt in FX sale to Bureau De Change operators (BDCs), the CBN has continued to channel weekly allocations of dollar sales to commercial banks to meet legitimate FX demands.

The Economic and Financial Crimes Commission (EFCC) had warned banks against selling foreign currencies to customers with no intention of travelling outside the country.

Hot this week

Police Inspector Dies in Accidental Shooting in Kano, Rifle Recovered in Yobe

Kano/Yobe, Nigeria — A police inspector, identified as Aminu...

CSOs To Tinubu: Hold DAPPMAN, Labour Unions Responsible For Breakdown Of Law, Order

The Coalition of Civil Society Organisations in Nigeria (COCSON),...

Senator Lalong Chairs UNIJOS Alumni Lecture, Calls for Safeguards in Justice Delivery in Digital Age

Senator Simon Bako Lalong, representing Plateau South Senatorial District...

Kogi Government, FG Empower 8,600 Households with Cash Transfer Programme

By Noah Ocheni, Lokoja The Kogi State Government, in partnership...

Kogi Government Mourns Victims of Ibaji Boat Mishap

By Noah Ocheni, Lokoja The Kogi State Government has expressed...

Zulum Approves Hospital, Water Facilities, Security Measures for Violence-Hit Kirawa Community

By Achadu Gabriel, Kaduna Borno State Governor, Prof. Babagana Umara...

Senator Lalong Chairs UNIJOS Alumni Lecture, Calls for Safeguards in Justice Delivery in Digital Age

Senator Simon Bako Lalong, representing Plateau South Senatorial District...

Amnesty International Urges FG to Cut Political Spending, Prioritize Economic Diversification

By Noah Ocheni, Lokoja Amnesty International has called on the...

Kogi Government, FG Empower 8,600 Households with Cash Transfer Programme

By Noah Ocheni, Lokoja The Kogi State Government, in partnership...

Anambra Community to Bury Traditional Ruler October 9

The Oko community in Orumba North Local Government Area...

Security: Wike Lights Up Abuja Districts, Flags – Off integrated Solar Lighting Project

By Joyce Remi-Babayeju The FCT Minister, Barr. Nyesom Wike, on...

Gov Sule Flags Off Bursary Disbursement, Reiterates Commitment to Education

By Abel Leonard, Lafia Governor Abdullahi Sule of Nasarawa State...

Related Articles

Popular Categories

spot_imgspot_img