Naira Depreciates As CBN Injects $210m Foreign Exchange Market

The Nigerian naira on Monday, January 22, depreciated by 57 kobo to close at N360.67 per United States dollar in the Investors’ and Exporters’ (I&E) window, even as the Central Bank of Nigeria (CBN) injected $210 million into the foreign exchange market.

This is just as the local currency weakened marginally to 365/dollar at the parallel market yesterday, from 364/dollar on Friday.

The naira had traded at 364/dollar in the past one week.

Confirming the development, the Acting Director, Corporate Communications Department (CCD), CBN, Mr. Isaac Okorafor said that the CBN offered $100million to authorized dealers in the wholesale segment of the market, while the Small and Medium Enterprises (SMEs) segment got the sum of $55 million.

The figures obtained from the Bank yesterday indicated that customers needing foreign exchange for invisibles such as tuition fees, medical payments and Basic Travel Allowance (BTA), among others, were also allocated the sum of $55 million.

Meanwhile, data from the Financial Market Dealers Quote (FMDQ) showed that indicative exchange rate for the window rose to N360.67 per dollar, yesterday, from N360.1 per dollar recorded last week Friday, indicating a 57 kobo loss in the value of naira.

The depreciation was prompted by 30 per cent decrease in the volume of dollars traded in the window, which fell to $273.94 million from 392.15 million traded last week Friday.

The I&E window recorded a turnover of $1.42 billion last week.