Forex traders anticipate more Naira gains

Forex traders anticipate more Naira gains
United Bank for Africa

Foreign exchange traders have anticipated more Naira gains, as buying and selling at the foreign exchange market showed local currency gaining some points against the Unites States dollar, at the close of trading on Friday.

After a free fall on Thursday, the naira scored some foreign exchange points against the Greenback.

Forex traders believed that the Naira would strengthen more with the lifting of the embargo on nine banks from being involved in the foreign exchange market by the Central Bank of Nigeria (CBN).

They said that the rate of purchasing the dollar with the Nigerian currency on Friday, September 2 was less by 3 points to the rate of exchange for Thursday, September 1.

It would be recalled that the CBN laid embargo on nine different Deposit Money Banks (DMBs) from participating in the foreign exchange market for their failure to obey with government’s orders on the Treasury Single Account (TSA).

The naira was exchanged at a rate N422 to a dollar, making the Nigerian money to score 3 points from the N425 it was exchanged with a dollar on Thursday, September 1.

Also, the British pound sterling and a euro were bought for N535 and N464 respectively. In the parallel exchange sector of the forex market, the naira likewise appreciated against the dollar, being sold at N415, N535 and N460 to a dollar, one pound sterling and one euro, respectively.

At the inter-bank sector of the foreign exchange market, the Nigerian money moved its appreciation as it’s gained, closing at N314.77 to a dollar, from N331 it recorded at the end of trading on Tuesday, August 30.