Nigeria Nigeria's Naira Jumps to N1,280/$ at Parallel Market: Traders React

The Nigerian Naira witnessed a remarkable appreciation, reaching N1,280 per dollar at the parallel segment of the foreign exchange market.

This surge, marking a 5.19 percent increase from the previous rate of N1,350/$ on March 27, has left currency traders in Lagos, commonly known as bureau de change (BDCs) operators, navigating a changing economic landscape.

With buying rates quoted at N1,260 and selling rates at N1,280, traders are experiencing a thin profit margin of N20 amidst fluctuating demands. Aliyu, a currency trader, highlighted the impact of falling dollar prices on their business, as customers opt to retain their currencies rather than exchange them.

Meanwhile, the official FX market witnessed a slight depreciation to N1,309.39/$ on March 28, down from N1,300.43/$ the day prior.

Despite this, the Central Bank of Nigeria (CBN) reported over $1.5 billion in FX inflows for the month, citing the efficacy of its monetary policy initiatives.

With assurances of continued stability and appropriate pricing of the Naira, the CBN under Governor Yemi Cardoso remains steadfast in navigating Nigeria's economic landscape.