In an exclusive report, Findwhosabi News has acquired the official exchange rates for the Dollar to Naira on January 11, 2024, encompassing both Bureau De Change (BDC) and Central Bank of Nigeria (CBN) rates.
Official Exchange Rate According to FMDQ Security Exchange
As per data released on the FMDQ Security Exchange, the official forex trading portal, the Naira commenced trading at ₦941.72 per dollar on January 10, 2024. The day concluded with the Naira closing at ₦1082.32 per $1.
Discrepancy in Rates: Black Market vs. CBN Announcement
Contrary to the Central Bank of Nigeria’s announcement on the unification of all segments of the foreign exchange market, the Naira is trading at an elevated rate of ₦1,175 per Dollar in the black market. The CBN, in a circular issued on June 14, 2023, had consolidated all FX windows into the Investors and Exporters (I&E) window.
The circular highlighted several key changes, including the re-introduction of the “Willing Buyer, Willing Seller” model at the I&E Window, abolishment of trading limits on oversold FX positions, and the re-introduction of order-based two-way quotes with a bid-ask spread of N1.
Shift Towards Free-Floating Exchange Rate
The operational alterations in Nigeria’s FX market indicate a significant shift in the country’s control over the Naira, allowing the local currency to float freely. A free-floating exchange rate occurs when the government relinquishes attempts to influence the exchange rate, letting market forces solely determine its value.
The Central Bank emphasized that further guidance on these operational changes would be communicated to authorized dealers and the public in due course. These changes signify a pivotal development in Nigeria’s foreign exchange policies, aligning the nation more closely with free-market principles.