Low FX Demand Boosts Naira by 0.05% at Investors’ Window

By Adedapo Adesanya

The decline in the demand for foreign exchange (FX) at the Investors and Exporters (I&E) segment of the market gave life to the Naira on Tuesday.

According to data obtained by Business Post from the FMDQ Securities Exchange, $29.42 million worth of forex was demanded during the session, lower than Monday’s $68.14 million by $38.72 million or 58.3 per cent.

This decrease in the day’s turnover helped the local currency to appreciate against the Dollar at the market window yesterday by 20 kobo or 0.05 per cent, closing at N385.80/$1 versus the previous day’s N386/$1.

At the Bureaux De Change (BDC) segment, the value of the Naira was strengthened against the greenback by N1.50 in Lagos to N463/$1 from N464.50/$1. Against the Pound, the Naira lost N7 to close at N603/£1 compared with N596/£1 and also dropped N2 against the Euro to close at N547/€1 as against N545/€1 recorded on Monday.

At the Abuja market, the domestic currency fell by N2 against the Dollar to wrap at N466/$1 as against N464/$1 on Monday while on the Pound, the local currency lost N1 to 596/£1 from N595/£1 and against the Euro, the domestic currency shed N12 to close at N547/€1 versus N535/€1.

In Port Harcourt, the domestic currency appreciated by 50 kobo to N464/$1 from N464.50/$1 and traded flat against the Pound at N595/£1 and appreciated by N3 on the Euro to N542/€1 from N545/€1.

At the Kano BDC market, the Nigerian currency appreciated by N1 against the greenback to settle at N464/$1 in contrast to the previous rate of N465/$1, while it gained N2 against the Pound to close at N598/£1 in contrast to N600/£1 and depreciated by N1 on the Euro to N548/€1 from N547/€1.

At the interbank window, the value of the local currency remained unchanged against the United States currency at N379/$1 at the close of business yesterday.

At the black market, the Naira traded flat against the greenback on Tuesday at N465/$1 but gained N3 on the Pound to close at N600/£1 versus N603/£1 and gained N9 on the Euro to N546/€1 from N555/€1.