The Naira’s resurgence against the US dollar continued on Friday, as it strengthened to an average exchange rate of N950 per dollar in the parallel market.
This marks a remarkable N170 increase, reflecting a 15.18% appreciation in the local currency compared to the N1,120 exchange rate just the previous day.
This upward trend marks the second consecutive day of the Naira’s recovery, driven by the Central Bank of Nigeria’s action to address its FX backlog.
According to Bureaux De Change operators interviewed by The PUNCH, the Naira’s positive momentum is ongoing, and the market is responding favorably to the CBN’s intervention.
One trader, Awolu, stated, “The dollar is available at N950 today for those looking to purchase.”
Kadri, another trader, mentioned that he buys at N900 per dollar but sells at N950, indicating a favorable trend in the exchange rate. Taura, another currency trader, reported an exchange rate of N1,015 per dollar in his area, with selling at N980 and buying at N1,015.
However, it’s worth noting that not all reports are equally positive.
Muhammad pointed out that the Naira’s value was currently at N970 per dollar, and the spread between buying and selling was N10.
Aminu Gwadabe, the President of the Association of Bureaux De Change Operators of Nigeria, confirmed that the CBN’s efforts to clear its backlog have played a pivotal role in the Naira’s strengthening.
He emphasized the need for continued transparency in CBN’s actions.
It was reported on Thursday that the CBN had begun settling outstanding matured FX forwards owed to various creditors, including Citi Bank, Stanbic IBTC, and Standard Chartered Bank.
