Naira continues strong run against US dollar

The Naira has continued its strong run against the United States dollar at the weekend, underscoring the resolve of the apex Bank to achieve convergence of rates between the interbank and Bureau de Change segments.

The dollar at the end of last week crashed against the Naira, as the Nigerian currency gained at the parallel market, exchanging at between N376 and N380 to $1 compared to the rate of N390 and N385 at which it had exchanged for about a week.

National Daily gathered that the local currency remained stable at both the Deposit Money Banks (DMBs) and Travelex segments, exchanging not above the N362 threshold.

Experts expressed hope that the rebounding Naira would boost the Nigerian economy and reposition it for even greater gains. They, however, urged the apex Bank to keep its pledge of sustaining Forex liquidity.

Meanwhile, a source at the CBN said that the Bank remained committed to ensuring a convergence of Forex rates and that the recent gains recorded by the Bank are sustained.

According to the CBN source, the CBN would continue to make necessary interventions to ensure the stability of the naira.

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The source further reiterated that the windows established by the CBN for Small and Medium Enterprises (SMEs) as well as for investors and exporters continued to yield the desired results by providing access to Forex and easing pressure on the market.

Corroborating the source, the Acting Director of Corporate Communications at the CBN, Isaac Okorafor reiterated the Bank’s commitment to ensure that there is enough supply of Forex to genuine customers to achieve the goal of Forex rates convergence.

Meanwhile, the Monetary Policy Committee of the Central Bank of Nigeria is expected to commence its quarterly today, May 22nd, and experts have predicted a strict monetary policy outcome.

It will be recalled that at the last MPC meeting of the Bank in March, the Governor, Godwin Emefiele stressed that one of the objectives of the Bank was to achieve a convergence of the rates in the various segments of the market.