Business

Exchange rate: Naira gains Massively against Dollar

THE Nigerian currency, the naira, recorded significant gains against the dollar in the parallel market and official Investors and (I&E) window.

The development comes as the foreign exchange market significantly increased as the Nigerian National Petroleum Corporation Limited (NNPCL) secured a $3 billion facility from AfremiBank to stabilize the exchange rate.

The naira appreciated by N28 or 3.8% in the parallel market as the exchange rate dropped to N885 per dollar from N920 per dollar recorded on Tuesday, August 15, 2023.

The Nigerian currency also appreciated by N21.44 per dollar, representing 3.25% in the official I&E window, as the exchange rate dropped to N759.86 per dollar from N781.30 per dollar on Tuesday, August 15, 2023.

Vanguard reports that black market sources revealed that the strengthening of the naira was due to the recent moves by the Central Bank of Nigeria’s Acting Governor, Folashodun Shonubi, to clamp down on speculators.

Shonubi’s pronouncement signaled that the CBN would soon take steps to boost forex liquidity and tackle speculators to address the falling value of the naira.

VAM News

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