N1,453/$: CBN Releases New Naira Exchange Rate Against Dollar, Pound, Euro
- The naira opened the new week higher against the US dollar in the official exchange market
- Against the pound in the official market, naira fell by N1.61 but gained 12 kobo against the euro
- The CBN injection of $250 million into the forex market support the naira amid rising dollar demand
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 opened the week on a positive note, gaining against the US dollar in the Nigerian Foreign Exchange Market (NFEM) by N2.88, or 0.19%, on Monday, November 24, to N1,453.84/$1 from N1,456.72/$1 at the close of last Friday.
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Naira appreciates against dollar
However, the domestic currency weakened against the British pound in the official forex market, falling by N1.61 to close at N1,907.59/£1, compared with the previous session’s N1,905.98/£1.
It gained 12 kobo against the euro, finishing at N1,678.17/€1 versus N1,678.29/€1 on the prior trading day.
At GTBank, the naira traded weaker against the dollar in the first session of the week by N3, settling at N1,460/$1 from N1,457/$1, while it remained flat in the parallel market.
In the black market, Bureau de Change operators confirmed that the dollar was sold at a slightly higher rate of N1,505, compared to the previous day's rate of N1,500/$1.
Abdullahi, a BDC trader, told Legit.ng:
"I sold the dollar at N1,468/$1 on Thursday to my customers, an increase from yesterday's rate of N1,453. I buy from my customers at N1,453. For other currencies, I sell the pound at N1,930 and the euro at N1,680, while I buy them at N1,900 and N1,650, respectively, depending on the amount."
Source: Getty Images
CBN injects funds
The Central Bank of Nigeria (CBN) injected $250 million into the market to support the naira amid rising demand for dollars, driven by foreign payment obligations from companies with external transactions.
The intervention also reverses recent capped sales of $50 million, expected to help rebalance volatility and demand-supply dynamics in Nigeria’s FX market.
Cowry Asset Limited stated that the naira’s weakness is due to ongoing demand pressures and systemic inefficiencies affecting price formation in Nigeria’s foreign exchange market.
CBN official rates on Monday, November 24:
- US Dollar: N1,453.84
- Pounds Sterling: N1,907.59
- Euro: N1,678.17
- Japanese Yen: N9.27
- Yuan/Renminbi: N204.63
- Danish Krona: N224.68
- Riyal: N387.62
- South African Rand: N84.11
- Swiss Franc: N1,799.98
Forex reserves hit $43bn
Earlier, Legit.ng reported that Murtala Sabo Sagagi, a member of the Central Bank of Nigeria’s Monetary Policy Committee (MPC), said in a personal statement after the committee’s 301st meeting that the naira is expected to strengthen further.
To support the currency, the CBN recently injected more than $500 million into the foreign exchange market.
According to FMDQ Exchange data, total FX inflows declined 12% month-on-month, reaching $3.4 billion in August.
Source: Legit.ng
