Naira loses steam, closes at 465/$1

After days of gaining strength against the dollar, naira finally lost it’s steam and closed at N465, losing N7 from its Thursday closing price of N458.

NAN reports that naira traded at N542 to the pound sterling and N480 to the euro.

At the bureau de change (BDC) window, the naira traded at N399 to a dollar at the CBN-controlled rate, while pound sterling and the euro closed at N610 and N520 respectively.

At the interbank market, naira traded at 305.25 to a dollar.

The CBN has injected over $500 million into the market to boost liquidity and ease the trouble experienced by Nigerians who need foreign exchange for various reasons.

Traders in the market expressed concern about the depreciation of the Naira in spite the gains earlier recorded.

Aminu Gwadabe, president, Association of Bureau De Change Operators of Nigeria (ABCON), told NAN that there was need for a review of the distribution mechanism.

“Many banks are selling to only clients with current accounts and not to savings account holders and there is also increasing demand for forex from our neighbouring countries,” he said.

“The different applicable exchange rates and volumes with Travelex and banks need to be harmonised and with that of BDCs to reduce friction.”

On Thursday, Isaac Okorafor, acting director, corporate communications of the bank, said that the appreciation of the naira was due to intelligent work by the apex bank.

The naira, which traded for as high as N520 to a dollar, appreciated after CBN  adjusted its forex policy, providing forex for school feels, medical and travel expenses.