Naira slips further, N560/1 trades in parallel market after MPC meeting

The Nigerian naira weakened further against the dollar in the parallel market on Wednesday to trade at N560 to the dollar.

The number is N15 or 2.8 percent less than N545 traded last week.

Street traders across the forex markets in Lagos who spoke to TheCable on Wednesday quoted the naira rate at N560 against the dollar.

They said that the naira continued to decline rapidly against the dollar over the past week.

The parallel market (street market) is characterized by behavior that is incompatible with a set of institutional rules.

Meanwhile, the coin opened trading at an indicative price of N413.82/$1

It fell 0.3 percent in the official market to close at N415.07 on Wednesday,

This is according to details on the FMDQ OTC Securities Exchange, a platform that oversees official forex trading in Nigeria.

The exchange rate of N450.50 to the dollar was on the spot the highest recorded during the intraday trading while selling as low as N404/1.

The Central Bank of Nigeria (CBN) has often emphasized that the parallel market is not the true reversal of the naira.

On Tuesday, the Central Bank of Nigeria’s Monetary Policy Committee meeting voted to keep everyone monetary policyr rates are constant.

Godwin Emviel, the head of the bank, addressing the press at the end of the meeting, halted the exchange rate debate as persistent calls by the BDC operators’ union to lift the ban.

In July, the main bank announced a Banning dollar sales for BDC operators.

CBN Governor said BDC operators have become money laundering agents in Nigeria.

The ban is still in effect.

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