The value of foreign exchange (Forex) transacted on Thursday, 3 March 2023, dropped when compared to the previous day’s transaction.
In the foreign exchange data obtained from FMDQ Securities, a firm that tracks the exchange rate in the official market, it was gathered that the value of transactions declined by 2.2 per cent.
Investors traded $96.44 million worth of foreign exchange on Thursday, which is $2.16 million less when compared to the $98.60 million transacted on Wednesday, 2 March 2023, in the official market.
The drop in foreign exchange transactions occurred the same day the Naira declined in value to the United States Dollar (USD), in the official market.
According to the data obtained on Friday, 3 March 2023, it was revealed that the exchange rate increased by N0.5 kobo or 0.01 per cent on Thursday.
The exchange rate between the Naira and the Dollar closed at N461.40/$1, rising above the N461.35/$1 traders in the official market settled with the previous day.
Prime Business Africa learnt that the exchange rate for the Nigerian and United States currencies had increased as high as N462 and as low as N446 before closing at N461.40 kobo.
Meanwhile, on Friday, the exchange rate in the Bureau De Change window of the black market was put at an average of N760 to one Dollar during trading hours.
It was gathered from Nairametrics that the exchange rate for both countries’ legal tender dipped by –1.05 per cent when compared to the N768/$1 reported during trading a day before.
This comes hours before the Supreme Court announced on Friday that the old Naira notes remain legal for 10 months until 31 December 2023.
Prime Business Africa understands that this will reduce the pressure on the Naira in the multiple foreign exchange market in Nigeria.
There have been reports that Nigerians who hoarded the old Naira notes have been dumping them in exchange for the Dollars amid the scarcity of the new Naira notes and attempts to avoid the scrutiny of the Central Bank of Nigeria (CBN).
The Supreme Court announcement will reduce the demand for Dollars among persons who were using several Naira notes to chase a few USD; an action that increased the value of the United States currency against that of the Nigerian.