Naira appreciates further to N1,650/$ at parallel market

The naira, on Monday, appreciated further to N1,650 per dollar at the parallel section of the foreign exchange (FX) market.

Naira appreciated by 6.78 percent, representing N120 drop compared to the N1,770/$ traded on February 23, 2024.

Bureau De Change operators (BDCs) in Lagos put the buying price of the dollar at N1,650 and the selling price at N1,600 — resulting in a profit margin of N50.

“The rate is getting better. But the rate might still go higher as there is still scarcity,” a trader identified as Aliyu, told TheCable.

At the official window, the local currency appreciated by 4.96 percent, from N1,665.5/$ on February 23, to close at N1,582.94/$ on Monday.

This is according to data from FMDQ Exchange — a platform that oversees official FX trading in Nigeria.

At the current exchange rate, the disparity between both FX markets amounted to N67.06, dropping from N104.5.

The development comes days after the Central Bank of Nigeria (CBN) released new guidelines for Bureau De Change (BDC) operators. 

According to the apex bank, sellers of FX of $10,000 and above to BDC operators must declare the source of the forex.

The bank also placed limits on foreign exchange sales by BDC operators.