Nigerian Naira Surges in Parallel Market: A Hopeful Outlook for Currency Traders

The Nigerian Naira has recently experienced a significant surge in the parallel market, sparking a wave of cautious optimism among currency traders and economic observers.

The parallel market, often bustling with activity in the streets of Lagos, saw the Naira being quoted at N1,440 to the US dollar, a notable appreciation from previous rates.

Bureau de change (BDC) operators reported buying prices hovering around N1,400 and selling prices settling at N1,440, leaving a profitable margin of N40 for traders.

This positive movement marks a remarkable appreciation of N30, or 2.04 percent, from the N1,470 to dollar rate observed on March 22.

In the more regulated realms of the Nigerian foreign exchange market, the FMDQ Exchange – a platform overseeing the country’s official FX transactions – witnessed the Naira’s value rise to N1,408.08 to the dollar, an increase of 1.64 percent or N23.41 from N1,431.49 on March 22.

Amidst this financial development, the president of the Association of Bureau De Change Operators of Nigeria (ABCON), Aminu Gwadabe, called on the Central Bank of Nigeria (CBN) to initiate a paradigm shift in how the country sources its foreign exchange.

Gwadabe emphasized the importance of resolving valid foreign exchange backlogs to improve market stability and attract international investments.

As the Nigerian Naira continues to exhibit resilience and strength, currency traders and economic observers are hopeful that this positive trend will lead to further growth and stability in the country’s economy.