The Naira on Monday stabilised at N498 to a dollar at the parallel market, the same rate it traded on Friday.

 

Against the Pound Sterling, one pound was bought at 520 and sold for 524, while the Euro was bought at 526 and sold 602.

 

At the interbank window, the local currency closed flat at 305.50 to the dollar, the level it has been traded since last Thursday.

 

But the local currency, at the Bureau De Change (BDC) window, traded at N399 to a dollar, a rate it would maintain for the rest of the week, while the Pound Sterling and the Euro traded at N604 and N522 respectively.

 

The naira, which appreciated slightly on Wednesday last week by N2 to close at N495 per US dollar, against N497 to a dollar it traded few weeks ago, again fell on Thursday to 498, the same amount it had been trading since.

 

It would be recalled that the naira had maintained rate at N490 against the greenback few weeks back but fell last week to 497 and further dropped to 498 per dollar at the parallel market.

 

Although, forex traders are optimistic that in spite of the current scarcity of the forex, there are strong indications that the Naira will bounce back, due to efforts from the Central Bank of Nigeria, the federal government and the adoption of a single rate by the BDC operators.

 

Currency retailers and experts have said the naira will trade slightly below 500 per United States dollar this week despite the commencement of the sale of foreign exchange to Bureau De Change operators by the Central Bank of Nigeria last week.

 

However, looking at last week’s exchange rate in which the naira was quoted at 498/ dollar at the parallel market, down from 497 on Thursday. It traded flat at 497/dollar between Monday and Wednesday, it is likely that the naira might reach cross N500/dollar this week.

The CBN had through the International Money Transfer Organisations resumed the sale of dollars to BDCs on Thursday, after stopping it for almost a month due to the Yuletide holiday.

 

Travelex, one of the IMTOs in the country, sold about $20m to 2,500 BDCs with each getting $8,000, the President, Association of Bureau De Change Operators, Alhaji Aminu Gwadabe, said.

 

The naira is seen unchanged on the parallel and official forex markets in the coming days even as the IMTOs continue the sale of dollars to the BDCs this week, boosting greenback liquidity.

 

The naira was quoted at 498/ dollar at the parallel market on Friday, down from 497 on Thursday. It traded flat at 497/dollar between Monday and Wednesday last week.

LEAVE A REPLY

Please enter your comment!
Please enter your name here