Naira appreciates by 1.5% against dollar
The Central Bank of Nigeria (CBN) had earlier announced the completion of clearance of the valid foreign exchange backlog, signaling a positive development in the forex market.
The Naira experienced a slight appreciation at the official market, trading at N1,431.49 to a dollar on Friday.
Data from the official trading platform of the FMDQ revealed that the Naira strengthened by N21.79 or 1.5 per cent, compared to the previous day’s rate of N1,453.28 against the dollar.
However, the total turnover decreased to $199.71 million on Friday, down from $288.47 million recorded on Thursday.
Meanwhile, at the Investor’s and Exporters’ (I&E) window, the Naira traded between N1,468 and N1,301 against the dollar.
Supreme recalls that the Central Bank of Nigeria (CBN) had earlier announced the completion of clearance of the valid foreign exchange backlog, signaling a positive development in the forex market
On the impact of forex intervention, researchers at Cordros Securities said, “The recent overhaul and increased intervention in the FX market have bolstered confidence and facilitated Foreign Portfolio Investors (FPIs) inflows into the forex market.”
They also highlighted renewed interest from foreign portfolio investors in the fixed-income market, as stop rates on the long-end bills rose above 20.0 per cent.