Naira strengthens as demand for dollars moderates at parallel market

Naira on Tuesday gained 0.13 percent (N1/$1) against the dollar at the parallel segment of the foreign exchange market as demand moderated.

During the intra-day trading on Tuesday, the dollar was quoted at the rate of N772 as against N773 quoted on Monday at the unofficial market.

Some of the street traders at Apapa and Festac areas of Lagos who were busy with Muslim festival preparations said there were low demands for dollars compared to the previous day. Some of them said they would be traveling for the festive season.

Naira on Monday appreciated at the Investors and Exporters (I&E) forex window, Nigeria’s official foreign exchange market, gaining 0.25 percent following increased dollar supply.

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After trading on Monday, the dollar was quoted at the rate of N768.17 as against N770.17 quoted on Friday at the I&E window, data from the FMDQ indicated.

The naira appreciation followed increased dollar supply from willing sellers, which include the banks, investors/exporters and the Central Bank of Nigeria (CBN).

The daily foreign exchange market turnover rose by 57.91 percent to $198.13 million on Monday from $125.47 million recorded on Friday.

On June 14, 2023, the CBN abolished segments of the official FX market to the I&E Window, where the “Willing buyer and Willing seller” was re-introduced. Based on this adjustment, the official rate rose from N463.38/$ to N768.17, the current rate.

Hope Moses-Ashike

Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa.