Exchange rate falls on temporary supply boost

There appeared to be a significant respite for Naira as it strengthened against the US Dollar in the unofficial currency market  a day to the public holidays after suffering severe depreciation daily for three consecutive weeks.
As at close of business yesterday, the local currency gained 3.64 per cent relative to the greenback, USD, to close at N265/USD1.0  from N275/USD.0 in the preceding week at the Bureau De Change, BDC, market segment.
Naira-Dollar
Naira-Dollar
Similarly, the local currency appreciated by 3.57 per cent of its value relative to the USD at the parallel market segment to close at N270/USD1.0 up from N280/USD1.0 in the previous week.
Currency dealers told Vanguard that the development came on a temporal supply boost by homecoming diaspora Nigerians for the festive season.
However, the Central Bank of Nigeria,  CBN, clearing rate and interbank rate closed steady at N196.97/USD1.0 and N199.1/USD1.0 respectively.


Vanguard