Naira Gets Large Daily Increase As FX Pressure Eases

Federation Account Amasses Over ₦5trn In 6months- RMAFC

The foreign exchange liquidity issue subsided, leading to a significant daily gain for the Nigerian naira in the official window. The official exchange rate is displayed in data from FMDQ Securities, and it indicates that the naira increased by 9.68%.

On Monday, the exchange rate between local currency and US dollar cleared at ₦1,339.33 for qualifying transactions made through the Nigerian autonomous foreign exchange market.

In contrast, the naira fell by 0.40% on the parallel market, closing at N1,500 per US dollar. This decline was caused by market expectations that the Central Bank of Nigeria, or CBN, would sell foreign exchange to Bureaux de Change operators, or BDCs, in an effort to strengthen the naira.

According to data from the FMDQ platform, total daily turnover decreased to $180.80 million on Monday, down from $556.25 million recorded on Friday.

In the global commodity market, West Texas Intermediate (WTI) crude futures and Brent crude prices were at $78 and $83 per barrel ahead of OPEC+ meeting this week. 

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