The value of Nigerian currency marginally declined against the US Dollar in the official and unofficial foreign exchange markets.
Data from the FMDQ securities showed that the Nigerian Autonomous Foreign Exchange Market (NAFEM) naira closed at N1,541.68/$1 on Friday, December 20.
Friday’s exchange rate represents a 0.02% or 30 Kobo drop in contrast to Thursday’s closing price of N1,541.38/$1.
The naira’s decline follows the Central Bank of Nigeria (CBN) granting Bureaux de Change (BDC) operators access to the official market for 50 days to ease some pressure.
TimesNow.com.ng reported that on Friday, the apex announced that BDC operators would have access to FX at the official market from December 19, 2024, to January 30, 2025.
There is a weekly cap of $25,000, with transactions requiring upfront funding at prevailing rates must follow a maximum of 1 per cent spread.
There is good news for the naira against the British pound sterling and the euro in the official market.
The CBN data showed that the naira appreciated yesterday by N6.46 to trade at N1,929.77/£1 compared with the previous day’s N1,936.23/£1.
While against the euro, the Nigerian currency depreciated by N60.21 to quote at N1,597.64/€1 versus N1,537.43/€1.
Meanwhile, in the parallel market, traders told TimesNow.com.ng that the naira depreciated against the dollar.
Abdulahhi a BDC trader told TimesNow.com.ng:
Ealier, TimesNow.com.ng reported that the new report from Meristem Security Limited has predicted that the naira will close the year at N1,690.32 per dollar in the official window
In the report, Meristem expressed worry that the forex demand during Christmas would increase.
A similar prediction by BMI analysis said the naira is expected to depreciate to N1,993 per dollar by 2028.
Source: TimesNow.com.ng
