Naira Depreciates To N930 Per Dollar In Parallel FX Market

The Nigerian currency, Naira depreciated to N930 per dollar at the parallel foreign exchange market, marking a 2.76 percent decrease from its rate of N905 on August 23.

VerseNews reports that the currency traders, specifically Bureaux De Change (BDC) operators in Lagos, attributed the depreciation to a scarcity of the US dollar.

BDC operators set the buying price of the dollar at N925 and the selling price at N930, resulting in a profit margin of N5.

VerseNews also learnt that the Central Bank of Nigeria (CBN) lifted the ban on selling forex to BDC operators, but this move has not alleviated the scarcity as banks are not selling to BDCs.

In the official market, the naira closed at N742.10 on Tuesday, with the market experiencing fluctuations between N738 and N807.15 throughout the day.

A total of $42.26 million was traded at the official investors’ and exporters’ window.

The CBN expressed concerns about banks potentially profiting from the revaluation of the naira and directed deposit money banks (DMBs) to cease using these gains to pay dividends or finance operations.