Naira ended its three-day depreciation trend at parallel section of foreign exchange (FX) market on Friday.
Gatekeepers News reports that local currency appreciated by 0.98 percent to N1,525 on July 5, from N1,535 per dollar which was traded on July 4.
According to Currency traders also known as bureau de change (BDC) operators, the buying rate of naira is N1,500, and the selling rate isbN1,525 — leaving an N25 profit margin.
Naura also reversed a three-day depreciation streak at the official window.
FMDQ Exchange, a platform that oversees official FX trading in Nigeria noted that local currency exchanged for N1,509 per dollar on July 5, making it a 0.7 percent rise from N1,520 traded the previous day.
Local currency traded at a high of N1,535 and a low of N1,450.
The exchange rate at both sections of the market however depreciated from July 1 to July 4, before it appreciated on July 5.
The local currency had on July 2 declined at the street market to N1,515/$ from N1,510 traded the previous day.
Yet, the naira again dropped to N1,520 on July 3 and N1,535 on July 4.
Data from FMDQ Exchange showed that naira depreciated to N1,509, N1,512, and N1,520 from July 2 to 4, respectively.
On June 14, 2023, the
Central Bank of Nigeria (CBN) on June 14, 2023, publicly revealed unification of all segments of FX market.
The move significantly devalued naira and caused fluctuations in the FX market, affecting key sectors of the economy.
According to comptroller of Seme command, Timi Bomodi, Nigeria Customs Service (NCS), on June 9, FX situation has made Nigerian goods available for other African countries.
Director-general of National Agency for Food and Drug Administration and Control (NAFDAC), Mojisola Adeyeye on May 29, noted that the devaluation of naira is the cause of high cost of local medicine production.
However, Governor of the Central Bank of Nigeria (CBN), Olayemi Cardosa on June 25, revealed he believes excessive volatility has come to an end.
