As economic tides ebb and flow, Findwhosabi News brings you the latest scoop on the Dollar to Naira exchange rates for May 3, 2024. Buckle up as we dive into the dynamic world of currency exchange!
According to data from the FMDQ Security Exchange, the official forex trading portal, the Naira opened at ₦1398.86 per $1 on April 30 and closed at ₦1402.67 per $1 on May 2. However, hold onto your hats, folks, as the Naira is making waves, trading as high as ₦1,360 per Dollar on the black market.
But wait, there’s more! The Central Bank of Nigeria (CBN) dropped a bombshell by announcing the unification of all foreign exchange market segments. In a circular dated June 14, 2023, the CBN declared the collapse of all FX windows into the Investors and Exporters (I&E) window.
What does this mean for you, dear reader? Well, it’s a game-changer! The reintroduction of the “Willing Buyer, Willing Seller” model at the I&E Window signals a shift in the forex landscape. With operational rates for government-related transactions now based on the preceding day’s executed transactions at the I&E window, transparency is the name of the game.
But wait, there’s more! The CBN isn’t stopping there. Trading limits on oversold FX positions are proscribed, with the green light to hedge short positions with OTC futures. Talk about flexibility!
In a move towards transparency, the reintroduction of order-based two-way quotes and the Order Book ensures seamless execution of trades. And don’t forget the operational hours – from 9 a.m to 4 p.m, Nigeria time.
These changes signal a seismic shift in Nigeria’s FX market, indicating a loosening grip on the Naira. With a free-floating exchange rate in play, the stage is set for market forces to take the reins.