In the just concluded week, Naira strengthend against the USD atthe Investors and Exporters window as the rate fell by 4.09% from its last week high of N410.25/USD to close at N393.50/USD amid recent price increase in crude oil prices.
However, Naira continuedto lose grip against the greenback (Naira depreciated) at the Bereau De Change and parallel (‘black’) market by 0.43% and 0.43% to close at N467.00/USD and N472.00/USD respectively.
The NGN/USD closed flat at N380.69/USD at the Interbank Foreign Exchange marketamid weekly injections of USD210 million by CBN intothe forex market: USD100 million was allocated to Wholesale Secondary Market Intervention Sales (SMIS), USD55 million was allocated to Small and Medium Scale Enterprises and USD55 million was sold for invisibles.
Elsewhere, the Naira/USD exchange rate appreciated for most of the foreign exchange forward contracts: 2 months, 3 months and 6 months rates fell by 4.91%, 4.94%, 5.82%, 6.26% and 8.73% respectively to close at N397.97/USD, N400.21/USD, N403.33/USD, N417.92/USD and N435.87 respectively.
However, the spot rate was flattish at N379.00/USD. In the new week, we expect Naira/USD to stabilze at most market segments, especially at the I&E FX Window and parallel (“black”) markets if the rising crude oil prices is sustained.