Home Finance Naira firms up on dollar supply

Naira firms up on dollar supply

by Business News Report

Naira gained some value against the U.S. dollar at the inter-bank market on Monday as oil firms’ dollar sales increased liquidity in the market. The naira appreciated to N162.87 against the dollar after falling in value to N163.20 earlier. It ended the day trading higher than the N162.82 to the dollar of Friday. Dealers said liquidity from last week’s dollar sales by oil firms, including NNPC, of about $500 million was currently in market, which was helping support the naira. At the auction, the central bank sold $350 million at N155.91 to the dollar, compared with $350 million it auctioned last Wednesday at N155.90. “The market is pretty liquid this week, but rates may gradually trend back upwards if the liquidity dries up,” one dealer said.

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