- The Central Bank of Nigeria is making changes to the operation of the Nigerian foreign exchange market
- To help Nigerians better understand the ongoing changes, the apex bank has released a list of key points to note
- The changes by the CBN have resulted in a significant fall in the value of the naira in both the official and unofficial foreign exchange markets
In the last few days, the media has been abuzz with discussions surrounding the performance of the Nigerian currency, the Naira, in the foreign exchange market.
Terms like “Naira float” and “Investors and Exporters window” have been regularly used in reports on the forex market.
True to his words, Tinubu not only suspended Godwin Emefiele as the CBN governor, a few days later, on June 14, 2023, the announcement of Naira floating was made.
Naira float, the value dropped
The announcement led to a sharp depreciation in the value of the naira in the foreign exchange markets and many Nigerians who had little or no idea of what was going on felt lost.
Crossriverhub.ng
reported that on Wednesday, June 21, 2023, the value of the naira dropped by over 95.91% at the official market, trading as high as N815 compared to N416 it exchanged before the naira float announcement.
As at Thursday, June 22, 2023, FMDQ data shows the naira continued its free fall against the US dollar, losing N1.76 or 0.26% of its value to close at N765.13/$1, in contrast to Wednesday’s rate of N763.17/$1.
While Nairarates reports that Nigerian currency is exchanging at N992 to one British pound at the black market.
