The Naira appreciated by N42.88 against the dollar over the past week, coinciding with the Central Bank’s launch of the Retail Dutch Auction System (RDAS).
According to FMDQ data from the last seven days, the Naira was trading at N1,617.08 per dollar on Friday, August 2, 2024. However, it strengthened to N1,574.20 per dollar by this Friday in the official market.
In contrast, the Naira remained stable in the black market throughout the week. Last Friday, it was exchanged at rates between N1,600 and N1,605 per dollar, and those rates persisted this Friday.
The recent gains in the Naira are attributed to the Central Bank’s introduction of RDAS in the foreign exchange market on Wednesday. The Central Bank reported selling $876.26 million to 26 banks at a rate of N1,495 per dollar.
These improvements in the Naira’s value occurred despite the ongoing hunger protests, which began last Thursday and have disrupted economic activities in some states.
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