Dollar Rate Stable At Black Market, Falls In Official Channel After EFCC’s Prediction

The black market reports exchange rate stability between the naira and the US dollar on Thursday, while the Nigerian currency appreciated at the official window.

Bureau De Change operators at the parallel market sold the dollar below N800, with the asking price circling N790.9/$1, the same rate the naira exchanged for the US currency on Wednesday.

The dollar rate traded flat in the black market and declining in the official market following the projection of the Chairman of the Economic and Financial Crimes Commission (EFCC), Abdulrasheed Bawa. Recall that Bawa had said  that the value of the USD would crash in response to the country’s proposed currency reissue.

The interference of the EFCC in monetary policy matters that rae considered the exclusive preserve of the country’s apex bank – the Central Bank of Nigeria (CBN) – was seen by many as abnormal and indicative of confusion in the management of the country’s foreign exchange regime.

Bawa had said that the planned redesign of the naira would aid the appreciation of the Nigerian currency.  “Our agency is pleased with the redesign of the naira note because the policy would help the Central Bank of Nigeria control the monies in the system and by extension, enable more money for people to borrow,” he said.

“It is my belief (as a student of Economics) that the redesigning of the Naira will cause the value of the dollar currently at N890 to crash to N200,” Bawa predicted

The naira on Thursday  pushed back against the U.S dollar in the official market on November 16 as traders exchanged both currencies at N445.75/$1.

Checks by Prime Business Africa showed that,  in the official channel’s investors and exporters window, the naira appreciated by 0.2 per cent, representing N0.92kobo loss in USD’s market value.

Nigeria’s currency had traded as high as N447/$1 during trading, and as low as N439.96, before closing at N445.75/$1, after traders transacted $121 million worth of USD.

READ ALSO: 6 Reasons Naira Gains, Loses In Black Market

The value of transactions is on the back of the foreign reserves declining slightly from $37.18 billion to $37.17 billion on November 2022.

Fakoyejo Olalekan

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