April 8, (THEWILL) – The naira, on Monday, continued its impressive comeback against the United States dollar and other major currencies, with dealers exchanging the Nigerian currency at N1,155 buy rate and N1,185 selling rate to $1, respectively, according to licensed traders in Lagos.
THEWILL reports that the naira, which has continued to strengthen since it reached N1900 – $1 a few weeks ago, opened Monday with dealers exchanging N1,200 – $1 at buy rate and N1,220 – $1 sell rate to customers.
The currency market appears to be responding to news that the state-owned NNPC is due to receive another $1.05 billion from the Afrexim Bank as part of a $3.3 billion syndicated facility backed with forward crude sales.
THEWILL also reports that the CBN’s Monday directive to banks that prohibits the practice of using foreign currency-dominated collaterals for naira loans may also have contributed to the naira’s rally late Monday. The regulator had earlier today offered the naira at N1,101 – $1 to licensed currency traders as against N1,251 – $1 it offered last week after dealers complained the rate was too high when compared to the going rate in the market.
About the Author
