Naira and Dollar rate

BY EMEKA EJERE

Those expecting a possible rebound of the naira may have to wait much longer as unfolding events prove that the woes of the local currency may be far from over.

The Nigeria legal tender slipped further against the U.S. dollar at the unofficial market window on Friday, clinching its third major decline within the week at the parallel market segment.
According to abokiFX.com, a website that collates the parallel market rates in Lagos, the domestic unit closed at N524.00 per $1 at the black market window on Friday. This implies a N2.00 or 0.40 per cent devaluation from the N522.00 it exchanged hands with the hard currency in the previous session on Thursday.
Similarly, the currency fell against the dollar at the FMDQ Security Exchange window where forex is officially traded on Friday. The local unit exchanged hands with the greenback currency at N412.00 per $1 at the official market, according to data posted.

This translates to a N1.12 or 0.30 per cent decline from the N410.88 rate recorded in the previous session on Thursday.

The local unit staged an intraday high of N400.00 and a low of N413.00 at the trading session before closing at N412.00 on the dot. This is as forex turnover soared by 47.00 per cent with $216.52 million recorded as against the $147.31 million posted in the previous session on Thursday.

The spread between the official and parallel market rates stood at N112.00 as of the close of business on Friday, leaving a margin of 21.40 per cent.

The currency had fallen against the U.S. dollar at the unofficial market on Thursday. But gained against the foreign currency at the Investors and Exporters (I&E) window where forex is officially traded.

While the local unit closed at N522.00 per $1 at the black market, representing a N1.00 or 0.20 per cent devaluation from the N521.00 it traded in the last two sessions respectively, it closed at N410.88 per $1 at the official market.