Naira Remains Stable Against Dollar at Parallel, Interbank Markets

By Adedapo Adesanya

The Naira maintained stability against the United States Dollar at both the parallel market as well as the interbank segment of the foreign exchange (forex) market on Wednesday, January 22, 2020.

During the midweek trading session, the local currency remained unchanged at N306.95/$1 at the interbank window also known as the official Central Bank of Nigeria (CBN) exchange rate window.

At the black market, the domestic currency traded against the greenback still at N362/$1. However, it appreciated against the Euro and the Pound Sterling at the segment yesterday.

The local currency gained N2 against the Euro to trade at N398/€1 in contrast to N400/€ it was sold on Tuesday, while it improved by N1 against the British currency to sell N478/£1 against N479/£1 it quoted the previous day.

At the Investors and Exporters (I&E) window, the Naira recorded another drop, this time by 0.19 percent equivalent to 50 kobo to trade at N362.88/$1 compared with N362.38/$1 it quoted the previous session.

This came as the market turnover reduced at the midweek session, dropping 61 percent equivalent to $111.82 million to $70.17 million from $181.99 million recorded on Tuesday.

At the Bureaux De Change (BDCs) segment in Lagos, the Naira gained N1 to close at N359 to a dollar compared with N360 per Dollar it traded previously. However, the domestic currency appreciated by N1 against the pound to close at N479/£1 from N480/£1 and gained N2 against the Euro to trade at N398/€1 against N400/€1 it went for at the last session.

At the Abuja BDC market, the local currency gained N2 against the greenback to trade at N360/$1 after closing at N362/$1 on Tuesday. Also, the Nigerian currency gained N1 against the Pound to close at N480/£1 from N481/£1, but closed flat against the Euro at N400/€1.

The Naira closed flat yesterday against the Dollar and Euro at the Kano BDC market at N360/$ and N400/€1 respectively, but depreciated by N2 against the Pound Sterling to close at N477/£1 compared with N475/£1 it finished on Tuesday.

There was no change to the Naira/USD exchange rate at the Port Harcourt BDC market as it closed at N360.50/$1 while the Naira gained N2 against pound to close at N479 from N481/£1 while the Naira/Euro remained at N400/€1.