Naira drops against Dollar, Euro at parallel market

The black market recorded a decline in the value of the naira on Wednesday, as the Nigerian currency depreciated by -0.14%, Naira Rates, a parallel forex rate aggregator reported.

This implied that the price for one dollar appreciated by N1.1 kobo in the parallel market to N754.5 kobo, from the previous day’s N753.4 kobo.

However, the case was different for the naira to pound exchange rate, as both currencies traded at similar rates reported on Tuesday, which is N951.3/£1.

The foreign exchange traders recorded a drop in the cost of the euro, which was sold at an average rate of N819.02/€1. This is N0.58 kobo reduction in price, considering the European currency was offered at N819.6/€1 the day before.

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Meanwhile, the naira to dollar exchange rate in the official market is still unchanged after closing at N464.67/$1 on Wednesday.

Although the official foreign exchange rate aggregator, FMDQ Exchange reported that during trading, the rate went as high as N476/$1 and fell as low as N160/$1 before ending the session at the same rate as of Tuesday.

While the dollar rate remains stable, the value of the foreign exchange has been swinging upwards and downwards in the official channel.

It was gathered that investors and exporters traded $140.31 million forex before the official FX market closed on Wednesday.

The value of foreign exchange traded failed to surpass the $186.02 million foreign exchange traders transacted during trading the previous day, representing a $45.71 million or 24.57 per cent drop in the value of foreign exchange traded within the two days in review.