Naira Moderates Across Foreign Exchange Market Segments

The Nigerian Naira sustained its improvement across key foreign exchange markets despite the expected wide rates due to persistent scarcity.

The local currency exchanged at N467 to a United States Dollar on the parallel market, popularly known as the black market. Meaning, the Naira has gained N43 since hitting N500/$US immediately the central bank devalued the currency for the third time this year in November.

At the same market, traders exchanged British Pound at N625 to a Naira while the Euro common currency was traded at N570 to the local currency.

On the Investors and Exporters Foreign Exchange Window, the Naira opened at N392.86 to a United States Dollar on Tuesday, representing a 0.18 percent decline.

At the bureau de change segment, Naira was exchanged at N475 to a United States Dollar, worse than the black market while the British Pound and Euro common currency traded at N626 and N573, respectively.

Despite forex scarcity, the Naira continues to gain against its global counterparts due to a drop in demand in the last one week. This could be attributed to the holidays or the drop in consumer buying power when compared to the COVID-19 free year.