New Exchange Rate As Naira Bounces Back, Rises by Over N46 Against US Dollar
- The Nigerian currency exchange rate improved against the dollar in the foreign exchange market
- In the official market the naira increased in value by 3.3% while in the unofficial market it weakened by N25
- Naira's strong performance comes on the back of the the Nigerian Securities and Exchange Commission (SEC) plans to delist naira from crypto platforms
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Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The Naira has started the new week strong in the official market also known as the Nigerian Autonomous Foreign Exchange Market (NAFEM).
FMDQ securities reports that Nigerian currency closed against the US dollar in the NAFEM window at N1,354.21/$1 on Monday, May 6, 2024.
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The new rate is an improvement by 3.3% or N46.19 on the US Dollar when compared with last Friday’s rate of N1,400.40/$1.
Naira bounces back
Also checks by Legit.ng shows that the naira value also improved improved against the pound sterling and the euro in the official market on Monday, May 6.
According to data obtained from the CBN website, Nigerian currency value rose by N66.56 to sell at N1,735.61/£1 compared to the previous session’s closing rate of N1,802.17/£1.
While against the Euro, it appreciated by N52.00 to quote at N1,489.15/€1 compared with the previous day’s value of N1,541.15/€1.
Naira to dollar unofficial market
It was however a different story for the naira in the black market as it weakened against the US dollar o sell at N1,435/$1.
This is N25 depreciation for the naira when compared with N1,410/$1 exchange rate quoted by traders on Friday last week.
FG delist naira from crypto platforms
The strong performance of the comes on the back of the news that the Nigerian Securities and Exchange Commission (SEC) has unveiled plans to delist the Naira from the peer-to-peer (P2P) cryptocurrency trading space, Punch reports.
The move is in its latest attempt to tackle the space it believes is manipulating the the naira depreciation.
The decision to delist naira was announced by Emomotimi Agama acting Director General of the commission in a statement on Monday, May 6, 2024.
FG addresses Naira to dollar exchange rate
Legit.ng earlier reported that Ben Akabueze, the director-general of the federation's budget office, said the Naira would strengthen in value in the foreign exchange market in 2024.
Akabueze said this would be possible as the country expects an increase in dollar supply.
He noted that the Tinubu-led government expects the reforms to start yielding results in 2024, which is why it maintains a positive stance on the exchange rate.
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Source: Legit.ng
