Dollar holds steady at N1,135 on black market as FX market opens
By Sodiq Adelakun
The Nigerian foreign exchange (FX) market on Thursday, opened with the dollar trading at N1,135, the same rate it closed at on Wednesday.
This stability in the exchange rate has brought a sense of calm to the market, with operators waiting and watching to see which direction the rate will take.
However, this stability comes after the naira depreciated against the dollar on Wednesday, losing 0.44 percent of its value on the parallel market.
The local currency exchanged with the dollar at the rate of N1,135 at the close of trading on Wednesday compared to N1,130 on Tuesday.
This slight depreciation may have caused concern among some market participants, but the fact that the rate has remained stable since then is a positive sign.
The FX market is an important aspect of the Nigerian economy, as it affects everything from the cost of imported goods to the value of remittances sent by Nigerians living abroad.
The stability of the exchange rate is crucial for businesses and individuals alike, as it allows for better planning and budgeting.
The Central Bank of Nigeria (CBN) has been working to stabilise the market, and it seems that their efforts are paying off.In conclusion, the stability of the exchange rate on the parallel market is a positive sign for the Nigerian economy.
While there may be fluctuations in the future, the fact that the market is currently calm is a good indication that the CBN’s efforts to stabilise the market are working.
Nigerians can now look forward to a more stable FX market, which will have a positive impact on their daily lives.
On Tuesday, naira steadied at N1,130 per dollar after losing 1.8 percent from N1,110$1 on Friday.
The FX market closed on Wednesday with naira gaining 3.67 percent at the official market but weakened on the parallel market.
After trading on Wednesday the dollar was quoted at N818.99, which was stronger than N850.22 quoted on Tuesday at the Autonomous Foreign Exchange Market (NAFEM), data from the FMDQ indicated.
On Tuesday naira depreciated by 6.89 percent per dollar which was quoted at N850.22 from N795.41 on Monday.
The willing buyers and willing sellers quoted the dollar at a higher spot rate of N1,099 and a lower rate of N701/$1.
