The foreign exchange daily turnover at the Investors and Exporters (I&E) forex window rose by 144.69 percent to $35.92 million on Friday compared with $14.68 million recorded on Thursday.
There was record transaction between the investors and exporters as most participants maintained bids between N375.00 and N389.75 per dollar.
At the I&E window, naira gained N0.94k as the dollar was quoted at N386.33k on Friday compared with N387.27k quoted on Thursday, data from FMDQ revealed.
Earlier in the morning, the market opened with an indicative rate of N386.36k, leading to naira gaining N0.72k against the dollar which sold at N387.08k at the I&E window.
A report by FSDH research showed that the Nigerian I&E FX window was at a relatively stable level, albeit with lower trading volume. Naira appreciated marginally by 0.24 percent as the dollar was quoted at N386.33 as compared to N387.27 on the previous day. Godwin Emefiele, governor of the CBN, on May 10, 2020 assured investors of the security of their investments in the country despite dwindling revenue from the sale of crude oil globally.
Emefiele, said investors interested in repatriating their funds from the country were guaranteed to get their money.
Nigeria’s currency on Friday maintained stability as the dollar closed on Friday at N458 on the black market for four days.
The naira stability reflects a moderate demand for dollar by the end users. The parallel market has remained quiet since the Central Bank of Nigeria (CBN) announced its plans to unify exchange rate.
At the retail bureau segment, the market closed with the dollar selling at N460 on Friday. This represents N1.00k depreciation from N459 traded on Thursday.
The Apex bank on March 26, suspended foreign exchange sales to the Bureau De Change (BDC) operators until further notice due to the Covid-19 lockdown as requested by the operators. The suspension notwithstanding, some BDCs are still active in the market.
The CBN said on April 29, 2020 that it has made complete arrangements to resume foreign exchange sales to the BDC segment of the market for business travels, personal travels, and other designated retail uses, as soon as international flights resume.
The reopening of the aviation industry has been put on hold by the Federal Government. The Federal Government on June 1, 2020 announced that airlines would resume operations on June 21.
The CBN April 29, 2020 resumed dollar sales for school fees and Small and Medium Enterprises (SMEs) and directed all end users to go to the banks to access forex.
The Nigerian treasury bills market closed on a flat note on Friday, with average yield across the curve remaining unchanged at 2.35 percent.
In the OMO bills market, average yield across the curve remained unchanged at 5.07 percent. The Overnight (O/N) rate declined by 0.82 percent to close at 16.10 percent. The Open Buy Back (OBB) rate also declined by 0.63 percent to close at 15.20 percent.
The FGN bond market closed on a negative note on Friday, as the average bond yield across the curve cleared higher by 4 bps to close at 5.28 percent.
