The official market closed on Tuesday with the naira to dollar exchange rate settling at N742.10/$1 as per foreign exchange data released by the FMDQ Exchange.
This represents a decrease from the N773.50 per dollar rate reported at the close of trading in the official market on Monday, signifying a substantial drop of N31.4 kobo.
Volatility in Official Dollar Rate
During Tuesday’s trading session, the official dollar rate reached a peak of N807.15/$1. However, it is worth noting that the United States currency also experienced fluctuations, reaching a low of N738/$1 in the Investors’ and Exporters’ window.
In the I&E window, foreign exchange traders in the official market executed transactions worth $42.26 million, showing an increase from the $37.86 million recorded during the previous session.
Furthermore, Investors and Exporters managed to bolster the value of their transactions by an impressive $4.40 million, constituting an 11.62% surge, based on data provided by the FMDQ Exchange.
Black Market Rates Show Resilience
In the parallel market, forex dealers traded the dollar at an average rate of N921.81/$1, according to data from the Naira Rates parallel market aggregator.
In contrast to the previous day’s trading, where the United States currency was exchanged at an average rate of N917.5/$1, this represents an increase of N4.31 kobo in the dollar’s price.
Similarly, the naira to pound exchange rate witnessed a decrease in the black market, settling at an average of N1162.5/£1. This contrasts with the British currency, which was sold at an average rate of N1162.5/£1 on Monday, indicating a N7.5 kobo increase.
Euro Appreciates Against Naira
In another development, the euro appreciated by N6.7 kobo, while the naira’s value declined by 0.67%. Both currencies were exchanged at N1002.9/€1, contrasting with the previous day’s rate of N996.2/€1.
These forex fluctuations underscore the ongoing challenges and volatility in the foreign exchange market, affecting both local and international trade. Stay updated for further developments in the currency exchange landscape.