Naira Maintains Stability Against Dollar at Currency Market
By Adedapo Adesanya
The Naira remained stable against the US Dollar at both the Investors and Exporters (I&E) and Interbank segments of the foreign exchange (forex) market on Tuesday, February 18, 2020.
After depreciating to N364.95/$1 at the I&E segment on Monday, the value of the local currency against the American currency remained at that level at the close of transactions yesterday.
However, the value of transactions at the forex market segment increased by 709 percent rise or $360.56 million to $411.40 million from the previous session’s $50.84 million.
At the official Central Bank of Nigeria (CBN) currency exchange window also known as the interbank segment, the local currency also traded flat against the US Dollar at N306.95/$1.
At the parallel market, the domestic currency remained stable against the greenback at N360 per Dollar. This was extended to the Euro, which traded flat on Tuesday at N394/€1. However, the Naira appreciated by N1 against the British Pound Sterling during the session to sell N473/£1 compared with the previous day’s N474/£1.
At the Bureaux De Change (BDCs) segment yesterday, the domestic currency maintained its stability against the Dollar at two of the four major locations of the country tracked by Business Post.
The Naira was flat against Dollar at the Abuja BDC market, closing at N358.20 per Dollar. It also closed flat against the Pound at N473/£1, while it gained N1 against the Euro to close at N394/€1 in contrast to N395/€1 it exchanged on Monday.
At the Kano BDC market, the local currency remained unchanged against the three major foreign currencies at the segment, closing at N358/$1, N472/£1 and N395/€1.
However, in Lagos, BDC operators sold the Naira at N358.30 to a Dollar in contrast to N358.20 per Dollar it was traded on Monday, indicating a decline by 10 kobo.
Against the Euro, the local currency appreciated by N2 to close at N391/€1 compared with N393/€1 it traded on the first day of the week, while it traded flat against the British pound at N475/£1.
At the Port Harcourt market, the Nigerian currency appreciated by 50 Kobo on the US Dollar to close at N357.50/$1 versus N358/$1 it previously traded, while it closed flat against the Pound and the Euro at N475/£1 and N397/€1 respectively.