Findwhosabi News has acquired the official dollar to naira exchange rate in Nigeria for today, encompassing both the Bureau De Change (BDC) and CBN rates.
As per the data released on the FMDQ Security Exchange, the Naira opened at ₦778.07 per dollar and closed at ₦793.70 per $1 on Wednesday, July 19, 2023.
On June 14, 2023, the Central Bank of Nigeria (CBN) made an important announcement regarding the unification of all segments of the forex exchange market. The CBN circular stated that all FX windows are now merged into the investors & exporters (I&E) window. This move is part of immediate changes to operations in the Nigerian FX market.
Under the new system, eligible transactions can access foreign exchange at the I&E window, following the “Willing Buyer, Willing Seller” model. Government-related transactions will be based on the weighted average rate of the preceding day’s executed transactions at the I&E window, calculated to two (2) decimal places. Trading limits on oversold FX positions have been prohibited, but short positions can be hedged with OTC futures. Limits on overbought positions will be set at zero.
Additionally, order-based two-way quotes have been reintroduced with a bid-ask spread of N1, and all transactions will be cleared by a Central Counter Party (CCP). The reintroduction of the Order Book aims to ensure transparency of orders and seamless execution of trades. The operational hours for trades are set from 9 am to 4 pm, Nigeria time.
These operational changes signify Nigeria’s easing of control over the naira, allowing the local currency to freely float. A free-floating exchange rate means that the government permits the exchange rate to be solely determined by market forces, without any attempt to influence it through the central bank.
The apex bank has assured that further guidance on these operational changes will be communicated to authorized dealers and the general public in the near future.