In an exclusive report, Findwhosabi News has obtained the official dollar to naira exchange rates in Nigeria today, shedding light on variations between Bureau De Change (BDC) rates and those set by the Central Bank of Nigeria (CBN).
The official exchange rate for the dollar to naira, as disclosed by the FMDQ Security Exchange, the official forex trading portal, indicates that the naira opened at ₦945.88 per dollar on Friday, January 5, 2024, and closed at ₦869.39 per $1 on the same day.
Contrastingly, the black market is witnessing the naira trading as high as ₦1,175 per dollar, despite the CBN’s announcement regarding the unification of all segments of the foreign exchange market.
The CBN, in a circular dated June 14, 2023, declared the abolishment of segmentation, consolidating all segments into the Investors and Exporters (I&E) window. The circular outlined several key operational changes, including the re-introduction of the “Willing Buyer, Willing Seller” model at the I&E window and the proscription of trading limits on oversold FX positions.
Furthermore, the CBN reintroduced order-based two-way quotes with a bid-ask spread of N1, emphasizing transparency through the reintroduction of the Order Book. The operational hours for trades were specified from 9 a.m to 4 p.m, Nigeria time.
The apex bank noted that additional guidance on the operational changes would be communicated to authorized dealers and the general public in due course. These shifts in the country’s FX market suggest a relaxation of control over the naira, allowing the local currency to freely fluctuate based on market forces.
It’s important to highlight that a free-floating exchange rate occurs when a government refrains from influencing the exchange rate’s external value, leaving it to be determined solely by market dynamics. The situation raises questions about the impact of these changes on the broader economic landscape and the potential consequences for businesses and individuals engaging in foreign exchange transactions.