Naira gains N2.33k at interbank, N1.50k at parallel markets

The nation’s currency, the naira, on Monday firmed significantly across all market segments after two oil companies sold dollar at the foreign exchange market. At the inter-bank foreign exchange market, naira gained N2.33k/$ or 1.15 percent against the US dollar. After trading on Monday, the local currency closed at N200.39 compared to N202.72 on Friday last week, according to data obtained from Financial Markets Dealers Quotations (FMDQ).

Naira also gained N1.50k/$ or 0.7 percent at the parallel market, closing at N226.50k/$ as against N228/$ on Friday last week. At the bureau de change segment of the foreign exchange market, the local currency appreciated by N1.00k/$ or 0.4 percent after closing at N225/$ from N226/$ on Friday last week, BusinessDay findings have revealed. The Nigerian unit of Royal Dutch Shell sold an undisclosed amount of dollars while Eni sold $15 million, lending support to the naira, traders told Reuters.

The Central Bank of Nigeria (CBN) had set its intervention rate at N196.8/ N197.8 to the dollar on Monday, but dealers said the regulator had not yet sold dollars to lenders by 1302 GMT. The currency dealers affirmed that there was not much of activity in the market on Monday, apart from dollar sales by the two oil companies which boosted liquidity a bit and supported the naira.