As the official investors and exporters windows closed on the 28th of July, the naira gained on the dollars closing N41.6/$1 representing a 0.02% appreciation compared to N411.65/$1 recorded on Tuesday, 27th July 2021.
At the parallel market, naira declined significantly by 3.9% to close at N525/$1 as against N505/$1 that was recorded the previous day. The sudden movement in the exchange rate at the black market was due to the ban on the sale of dollars to BDC operators in Nigeria by the Central Bank.
Naira’s appreciation against the US dollar at the Investors and Exporters window representing a 7 kobo gain compared to N411.67/$1 recorded on Tuesday.
The opening indicative rate however depreciated from N411.42/$1 recorded on Tuesday, 27th July 2021 to close at N411.5/$1 on Wednesday.
An exchange rate of N413 to a dollar was the highest rate recorded during intra-day trading before it settled at N411.6/$1, while it sold for as low as N352.07/$1 during intra-day trading.
Meanwhile, forex turnover at the Investors and Exporters (I&E) window increased significantly by 204.4% on Wednesday, 28th July 2021 to $352.07 million.
According to data tracked sourced from FMDQ, forex turnover surged from $115.67 million recorded on Tuesday, 26th July 2021 to $352.07 million on Wednesday.
The significant increase in dollar supply is attributable to the allocation of $200 million by the CBN to commercial banks as part of efforts to meet the foreign exchange demand for legitimate users.