Naira closes flat as dollar supply rises by 62.83%

The naira on Thursday closed flat at the official foreign exchange (FX) market despite an increase in the amount of dollars supplied in the market.

After trading on Thursday, the naira lost 0.15 percent as the dollar was quoted at N1,510.10 compared to N1,507.83 quoted on Wednesday at the Nigerian Autonomous Foreign Exchange Market (NAFEM), data obtained from the FMDQ Securities Exchange Limited indicated.

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The dollar supplied by willing buyers and willing sellers rose by 62.83 percent to $287.21 million on Thursday compared to $176.39 million recorded on Wednesday.

According to the FX market summary, the intraday high printed at N1,577 per dollar on Thursday as against N1,523 on Wednesday. The intraday low closed at N1,431 on the same day from N1,430.91 quoted on the previous day.

At the parallel market, commonly referred to as the black market, the naira lost 1.32 percent of its value as the dollar was quoted at N1,520 on Thursday.

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“Foreign exchange regime in transition with a new market driven system, NFEM. 350 percent devaluation of the currency in the past 6 years, has seen parallel market spread still intact, with rates now settling around N1,520/$ and N1,500/$ at NFEM,” Adetilewa Adebajo, chief executive officer, The CFG Advisory said.