BREAKING: See Exchange Rates As Naira Gains Massively Against Dollar At Official Market—The Genius Media Nigeria reports that Naira has gained massively at official market as pressure on external reserves mounts.
TGM gathered that the exchange rate between the Naira and the US dollar closed at N414.25/$1 at the official Investors and Exporters (I&E) window with the against the US dollar on Wednesday to close at N414.25/$1.
This represents a 0.13% gain when compared to the N414.80 that was recorded in the previous trading sessions as the pressure on the country’s external reserves continued with a decline of $157 million.
However, the naira appreciated against the US dollar on Wednesday as it closed at N572/$1. This represents a N3 gain when compared to the N575/$1 that was recorded in the previous trading session. This is according to information obtained from BDC operators
The local currency sustained its gain at the official market as the forex turnover dropped by 53% during Wednesday’s trading session.
Trading at the official NAFEX window
The exchange rate at the Investors and Exporters window appreciated to close at N414.25/$1 on Wednesday, representing a 55 Kobo gain when compared to the N414.80/$1 that was recorded at the last trading session.
The opening indicative rate appreciated to close at N413.87/$1 on Wednesday, December 15, which represents a 16 kobo gain when compared to the N414.03/$1 that was recorded in the previous trading session.
An exchange rate of N444/$1 was the highest rate recorded during intra-day trading before it settled at N414.25/$1, while it sold for as low as N405/$1 during intra-day trading.
Forex turnover at the official window dropped by 53% to trade at $177.60 million on Wednesday.
According to data on FMDQ, forex turnover at the I&E window declined from $377.88 million on Wednesday 15th December 2021, to $177.60 million on Wednesday 15th December 2021.
External reserves
Nigeria’s external reserve dropped by 0.38% on Tuesday, 14th December 2021, to close at $40.731 billion. This represents a decrease of $157 million compared to $40.888 billion recorded as of Friday, 10th December.
The consistent decline that had been experienced in the country’s reserve level could be attributed to the continuous intervention of the apex bank in ensuring the stability of the exchange rate.
It is worth noting that the nation’s foreign reserve had gained $5.99 billion in the month of October, as a result of the $4 billion raised by the federal government from the issuance of Eurobond in the international debt market.
In the month of November, Nigeria’s external reserve lost $633.47 million in value as against a gain of $5.99 million recorded in the previous month and $2.76 million gain in September 2021. On a year-to-date basis, the reserve gain has reduced to $5.74 billion.