Monday, September 26, 2022: The Nigerian Investors and Exporters (I&E) FX Window opened the trading session on a bullish note as the naira exchanged for a dollar at N435.67, representing a gain of 0.2 percent. However, as the intra-day trading progressed, the naira dropped slightly to close at N436/$, constituting a 0.08 percent appreciation day-on-day. On a week-on-week basis, the naira posted a 0.1 percent appreciation from N436.50/$ recorded as of the end of trading the previous week.
An exchange rate of N441/$1 was the highest rate recorded during the intra-day trading before it settled at N436/$ at the end of the trading session, while it also traded as low as N423/$ during intra-day trading. According to data from FMDQ, a total of $78.10 million was traded at the Investors and Exporters (I&E) Window for the reporting period. This represents a decrease of 26 percent from the $106.11 million traded the previous day. Notably, for the trading day, the value of the naira rose despite a fall in forex supply.
In the parallel market, the naira plunged to reach a historic low against the dollar at N715/$. Compounded by a steady decline for some weeks, it dropped by 0.4 percent to hit a record low. Trading activities at the B2B market show that the exchange rate closed at about N719/$ for the same period being reported. This is based on the information obtained from BDC operators in Lagos.
Foreign Reserves
Nigeria’s gross external reserve has stabilized around $38 billion/$39 billion for several months with few occasional variations. According to data from the Central Bank of Nigeria (CBN), as of September 22, Nigeria’s foreign reserve stands at $38.49 billion, declining by $25.5 million (0.07 percent) from the 38.51 billion recorded as of September 21.