The exchange rate between the Nigerian naira and the US dollar saw a depreciation of 0.20% at the Investors and Exporters (I&E) window, closing at N464.42/$1 on Tuesday, May 23, 2023. Nairametrics daily currency update tracked and compiled from FMDQ Exchange reported the opening indicative rate of N464.10/$1 at the IEFX exchange market on May 23, 2023, a depreciation of 0.13% from the previous day when it closed at N463.5/$1.
The intra-day trading on May 23, 2023, recorded the highest rate of N632/$1, which is the highest value since the beginning of the year. In contrast, the lowest rate still stood at N460/$1, holding steady for ten consecutive trading sessions since May 9, 2023, with a forward rate of N449.92/$1.
Despite the dip in exchange rates, there was a significant increase in transactions as $251.91 million was exchanged at the official market on May 23, 2023. This is 135.78% higher than the $106.84 million that was exchanged in the preceding session. The nation’s external reserves also saw a marginal appreciation of 0.05% from $35.178 billion as of May 18, 2023, to $35.198 billion as of May 19, 2023.
While the slight dip in exchange rates may cause some concern, it is important to note that the exchange rate remains relatively stable compared to previous years. The Central Bank of Nigeria has been implementing various measures to stabilize the exchange rate and ensure a healthy and buoyant economy. Cryptocurrency regulations, increased foreign exchange availability, and the provision of loans to farmers are some of the measures that the CBN has implemented to support the Nigerian economy.