Despite the recent injection of an additional $10,000 to Bureau De Change operators by the Central Bank of Nigeria, the Naira has not managed to appreciate against the US dollar in the foreign exchange market.
Data from FMDQ revealed that the Naira experienced a decline to N1308.52 per Dollar on Wednesday, in contrast to the previous day’s exchange rate of N1,300.15.
On a daily basis, this reflects a decrease of N8.37 from the rate of N1,300.15 per Dollar on Tuesday.
In the parallel market segment, the Naira was trading between N1,250 and N1,300 on Wednesday, down from N1230 on Tuesday.
Despite the CBN providing BDCs with $10,000 each at N1,021 per dollar and restricting them from selling at more than 1.5% above the purchase price, the Naira’s performance has not improved as anticipated.
This recent intervention marks the third support for BDCs in the context of the Central Bank’s ongoing efforts to support the Naira.
Despite the recorded FX rates, the official exchange rate still exceeds that of the parallel market by N8.52.
Meanwhile, Aminu Gwadabe, the National President of the Association of Bureau De Change Operators of Nigeria, attributed the recent depreciation of the Naira against the Dollar in the foreign exchange market to peer-to-peer cryptocurrency platforms like Binance.
In recent days, the Naira has faced a decline against the Dollar on six separate occasions in the foreign exchange market.