Naira Gains 0.24% at Interbank, Loses 0.07% at I&E

By Dipo Olowookere

The performance of the Naira against the Dollar was positive this week as all the segments of the foreign exchange market appreciated except for the Investors and Exporters (I&E) window.

Business Post reports that the I&E segment depreciated by 0.07 percent during the week to quote at N362.71 per Dollar.

However, the local currency appreciated by 0.24 percent at the interbank forex market to trade at N357.10 to a Dollar.

This growth was boosted by the weekly injections of $210 million into the foreign exchange market by the Central Bank of Nigeria (CBN) on Tuesday via the Secondary Market Intervention Sales (SMIS).

During the injection, the central bank allocated $100 million to Wholesale SMIS, while $55 million were given to dealers in the Small and Medium Scale Enterprises and the invisibles.

At the parallel (black) market, the Naira improved by 82 kobo to close at N361 to a Dollar, while it appreciated by 83 kobo at the Bureau De Change (BDC) segment to quote at N358 per Dollar.

Meanwhile, the Naira/Dollar exchange rate fell (i.e. Naira appreciated) for most of the foreign exchange forward contracts.

According to Cowry Asset, the spot rate, 1-month, 2 months and 3 months rates moderated by 0.02 percent, 0.02 percent, 0.06 percent and 0.04 percent respectively to close at N306.75/$, N365.56/$, N368.59/$ and N371.79/$ respectively.

However, 6 months and 12 months rates rose (i.e. Naira depreciated) by 0.17 percent and 0.54 percent to close at N384.23/$ and N413.35/$ respectively.