Connect with us

Business

Naira drops in value again, but major boost expected

Published

on

FOREX: CBN injects N273m into retail secondary market

The Naira again traded weaker against the US Dollar on Monday, losing 16 kobo or 0.04 per cent at the Investors and Exporters (I&E) window, the official foreign exchange market.

According to data from FMDQ securities the Naira closed at N411.83/$1 in contrast to N411.67/$1 it traded last Friday.

The decline witnessed on Monday is coming despite a significant increase in the forex supply by 203.62 per cent with $173.64 million recorded as against the $57.19 million posted in the previous session on Friday last week.

However, at the black market, the Naira maintained stability against the US Dollar yesterday as its value remained unchanged at N520/$1.

Read also: Naira begins new week at N520/$1, but expects recovery

Similarly, the Nigerian currency traded unchanged against the Pound Sterling on Monday, closing at N708/£1 the same rate it closed last Friday.

Nigerian currency however appreciated against the Euro by N2 to close at N604/€1 compared with N606/€1 of the preceding trading day.

Meanwhile a significant boost is expected to come for the Naira, as the International Monetary Fund (IMF) on Monday announced the disbursement of $650 billion Special Drawing Rights (SDRs) to member countries to boost reserves.

Ripples Nigeria had reported yesterday that the expected $3 billion to Nigeria will go a long way toward assisting the Central Bank of Nigeria in defending the Naira and help easily meet demands from investors, importers, and exporters for foreign currency.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now