Tag
DOLLAR
Mr. Yemi Cardoso, the acting governor of the Central Bank of Nigeria, faces an impossible challenge in trying to tame the strong dollar effect on the naira in the face of the nation's poor liquidity.
The Naira weakened significantly against the US dollar on the official market on Tuesday, market rates published on the FMDQ website showed, although the dollar index fell sharply on Tuesday.
Naira appreciated in the P2P market when it broke below the N900 price on Binance in the early hours of Tuesday.
The exchange rate between the naira and dollar was quoted for as high as N895/$1 on the black market, the weakest in history.
The naira has been fluctuating over the past two weeks, trading between 750 and 790 nairas on Wednesday, when it reached a high of 782.36/$ at its highest levels on the official market
The Central Bank of Nigeria (CBN) in an official statement has announced the unification of all segments of the forex market collapsing all windows into one.
Sources at the BDC informed our correspondent that rates range between N790-N800/$1
Nigeria it will seem is at an inflection point and to address its dollar needs, it will need to confront several obstacles most of which take time to be resolved
This is according to information from black market operators interviewed by Nairametrics
To ease supply pressure from the CBN, the Nigerian currency will unavoidably need to be depreciated at the Investors and Exporters (I&E) foreign exchange window rate.
A bleak economic outlook and the most recent surge in the value of the US dollar have caused the pound to decline to its lowest point in over four decades.
The dollar clung to recent gains against the euro and pound sterling on Friday.