The exchange rate is expected to strengthen further due to the resumption of forex sales to the Bureau De Change operators by the Central Bank of Nigeria (CBN) on Monday (today) according to the operators.
CBN had disclosed plans to resume sale of foreign exchange to BDCs on Monday as part of effort to enhance accessibility to foreign exchange.
Investogist reported last week that naira value strengthened massively at the parallel market popularly known as the Black market against the U.S Dollar, British Pounds, and Euros due to sell-off by speculators.
Prior to the strengthening, naira exchanged as high as N480/$1.
On Friday, the naira exchanged at N440/$1 at the parallel market while British pounds closed at N570 while Euros stood at N506 according to abokiFX.
At the Investors and Exchange Window, the naira exchange rate closed at N386.13 against the dollar on Friday, according to the data on FMDQ.
The high and low exchange rates at the intraday trading are N395.13/$1 and N380/$1 respectively.
The turnover at the I & E Window on Tuesday was $89.15 million.
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The President, Association of Bureaux De Change Operators of Nigeria, Alhaji Aminu Gwadabe, expressed support for the CBN action on forex sale and said it will ensure stability in the forex market.
He said “the anticipated intervention in the BDC sector will ensure stability in the foreign exchange market.”
The Director, Corporate Communications Department at the CBN, Isaac Okorafor, said that those requiring foreign exchange for purposes of travel, educational fees and other invisibles could obtain such over the counter from their respective banks.
Written by;
Ifunanya Ikueze