Access, UBA, GTB, Other Banks, Traders Sell Dollar at New Exchange Rate As Naira Falls Again

Access, UBA, GTB, Other Banks, Traders Sell Dollar at New Exchange Rate As Naira Falls Again

  • The Nigerian currency has dropped in value against the United States Dollar in the forex markets
  • The latest data shows that it fell by 0.1% in the official market, but a heavy fall was recorded in the unofficial markets
  • Nigerian banks, as well as traders in the black market, have all adjusted their rates to align with the currency exchange rate

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 Nigerian naira has recorded another poor performance against the US dollar in the official and unofficial markets.

In the official market, data from FMDQ securities showed that the naira weakened in the Nigerian Autonomous Foreign Exchange Market (NAFEM) to N1,309.88/$1 on Thursday, April 25, 2024.

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Naira to dollar exchange rate
Naira falls in official and unofficial FX markets Photo credit: Benson Ibeabuchi
Source: Getty Images

It is also the fifth straight trading session in which the value of the naira has dropped.

Naira depreciated despite an improvement in the supply of FX to the spot market, as the total transaction rose by 61.0%, or $120.54 million, to $318.08 million from $197.54 million.

Also, CBN data showed that naira witnessed further drops against the pound sterling and the euro on Thursday.

Against the British currency, it lost N64.95 to sell at N1,655.20/£1 compared to N1,590.25/£1, and against the euro, it depreciated by N55.81 to sell at N1,423.04/€1 compared to N1,367.23/€1.

Naira to the dollar at the black market

The naira's story was the same in the black foreign exchange market, also known as the parallel market.

On Thursday, the naira suffered an N120 loss against the dollar, trading at N1,420/$1 compared with the midweek session's N1,300/$1.

Read also

Traders sell dollar at new exchange rate as naira falls again against US dollar

This indicates a loss of N120 in just 24 hours, the biggest fall recorded since February 2024.

CBN sells dollars to BDC operators

Earlier, Legit.ng reported that the Central Bank of Nigeria again conducted another round of dollar sales to licensed Bureau De Change Operators.

The sale is part of the apex bank's plan to ensure enough liquidity in the market and stabilise the currency.

The CBN has also fixed an exchange rate limit for the BDCs when selling to Nigerians seeking dollars.

Source: Legit.ng

Authors:
Dave Ibemere avatar

Dave Ibemere (Senior Business Editor) Dave Ibemere is a senior business editor at Legit.ng. He is a financial journalist with over a decade of experience in print and online media. He also holds a Master's degree from the University of Lagos. He is a member of the African Academy for Open-Source Investigation (AAOSI), the Nigerian Institute of Public Relations and other media think tank groups. He previously worked with The Guardian, BusinessDay, and headed the business desk at Ripples Nigeria. Email: dave.ibemere@corp.legit.ng.

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