In today’s economic landscape, the official exchange rate for the dollar to the naira, according to data from the FMDQ Security Exchange, reveals that the naira opened at ₦1513.77 per $1 on July 3 and closed at ₦1520.24 per $1 on July 4, 2024. Additionally, the Central Bank of Nigeria (CBN) has confirmed that the Nigeria currency is trading as high as ₦1,510 per dollar on the black market.
In a significant policy shift, the CBN announced the unification of all foreign exchange segments into the Investors & Exporters (I&E) window, effective from June 14, 2023. This move abolishes previous segmentation, allowing applications for medical expenses, school fees, and SMEs to be processed through deposit money banks. The I&E window now operates on a “Willing Buyer, Willing Seller” model, providing a more transparent and market-driven exchange rate system.
This unification signals Nigeria’s shift towards a free-floating exchange rate, where market forces dictate the value of the naira. This change aims to increase transparency and efficiency in foreign exchange transactions, reflecting a broader effort by the Nigerian government to stabilize the naira and boost investor confidence.
