The exchange rate between the Naira and the US Dollar saw fluctuations across official and unofficial markets, reflecting ongoing challenges in Nigeria’s foreign exchange policy.
According to data from FMDQ Securities Exchange, the Naira opened at ₦1,605.30 per $1 on November 29 and closed at ₦1,542.27 per $1 on December 9.
In contrast, the black market remains volatile, with rates as high as ₦1,600 per Dollar, despite the Central Bank of Nigeria’s (CBN) efforts to unify the foreign exchange market under the Investors and Exporters (I&E) window.
The unification policy, announced in June 2023, abolished all segmented forex windows, allowing the Naira to float freely. “All segments are now collapsed into the Investors and Exporters (I&E) window,” the CBN noted in a circular.
The policy also introduced measures like the “Willing Buyer, Willing Seller” model and reestablished order-based two-way quotes for transparency in FX trading. However, analysts suggest the ongoing depreciation highlights persistent forex demand pressures and insufficient dollar inflows.
