The continued scarcity of forex has pushed the exchange rate between the naira and dollar to N740 on Tuesday, OduNews can confirm.
Bureau De Change operators around Abule Egba and Ikeja areas of Lagos who spoke to our correspondent said that they sell dollars for an average of N740/$1 and buy for a maximum of N730/$1.
They also added that it sold for as high as N745/$1 yesterday, Monday, and has just moderated.
The rising demand and continuous liquidity crunch continue to drive the exchange rate upward in the unofficial market, considering the price is determined by demand and supply.
The exchange rate has maintained a downward trend, following the move by the apex bank to raise the interest rate to a 20-year high of 15.5%, representing 150 basis points increase from the 14% stated at the previous MPC meeting.
The exchange rate at the official Investors and Exporters window closed at N437.03/$1 on Friday, 30th September 2022, the same as recorded in the previous trading session. Meanwhile, when compared to the previous week, it depreciated from N436.33/$1 recorded on Friday, 23rd September 2022.
A total of $566.21 million in FX value was traded in the official market last week, compared to $524.35 million that exchanged hands in the previous week. The highest daily forex turnover was recorded on Thursday, 29th September, when a sum of $223.3 million exchanged hands.
Despite the volatility in the unofficial market, the Central Bank has been able to maintain the stability of the currency in the official market by constant intervention, which has constrained the country’s foreign reserve.
According to the data from the CBN, Nigeria’s foreign reserve has already lost over $2 billion year-to-date to stand at $38.28 billion, from over $40 billion recorded as of the end of last year.
