Naira gained 3.6% for trading N540 / $1 on the parallel market

The Nigerian naira rose 3.6% to 540 N/$1 on the parallel market – almost four months after the Central Bank of Nigeria (CBN) halted foreign exchange sales to exchange bureau operators (BDC).

The local currency gained N20 to close at N540 on Wednesday from N560 and opened the weekly trading on Monday.

Traders of change desks in Lagos told TheCable that the market has seen massive gains against the dollar since last week.

Abubakar Salisu, a trader at BDC, said that they are now very reluctant to buy or sell at any particular price except for getting accurate confirmation from other operators.

“Today we sell N540 per dollar. Last week, it was 565 nika to the dollar,” Salisu said.

In July, the main bank accused BDC operators of working with corrupt people to carry out money laundering in Nigeria.

Godwin Emefiele, governor of the main bank, said the CBN received about 5,000 applications per month for BDC registration, adding that the operators were making efforts to dollarize the Nigerian economy.

In September, the main bank also went after Oniwinde Adedotun, founder of abokiFX – a web platform that has been reporting on moves in the foreign exchange market since 2014.

accused abokiFX Ltd. Conducting “illegal foreign exchange transactions” through daily parallel market data information.

This move forced the management AbokiFX to close The data information part of its platform.

Speaking at the ongoing Paris Peace Forum on Wednesday, Emviel said the country’s foreign exchange reserves of more than $40 billion could meet the return of investors to their profits.

Since July when the major bank halted foreign exchange sales to BDC, the country’s foreign exchange reserves have risen by $8.49 billion, from $33.3 billion to $41.8 billion.

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