The Nigerian naira recorded a significant gain against the US dollar on Tuesday, September 12, 2023, at the investors and exporters (I&E) window. The naira appreciated by 4.06 per cent to close at N742.10 per dollar, compared to N773.50 per dollar on Monday, September 11, 2023.
According to data from the FMDQ Securities Exchange, the naira opened at N761.24 per dollar on Tuesday and traded within a range of N738 to N807.15 per dollar before settling at N742.10 per dollar. This represents the highest level of the naira against the dollar since July 2023.
The volume of transactions at the I&E window increased by 23.5 per cent to $42.26 million on Tuesday, from $34.21 million on Monday. The I&E window is the official market where foreign exchange is traded between banks, foreign investors and exporters.
The naira’s performance at the I&E window reflects the improved liquidity and confidence in the foreign exchange market, as well as the positive impact of the Central Bank of Nigeria’s (CBN) policies to support the local currency.
The CBN has been intervening in the market by supplying dollars to various segments of the economy, such as manufacturers, importers and remittance recipients.
The naira also strengthened against the dollar at the parallel market, where it exchanged at N925 per dollar on Tuesday, from N930 per dollar on Monday. The parallel market is an unofficial segment of the foreign exchange market where currencies are traded outside the purview of the CBN.
