Amidst the usual ebb and flow of the foreign exchange market, the naira held its ground on Tuesday, showing resilience in the face of fluctuating demand.
At the close of trading, it maintained a steady ₦1,499 to the dollar on the official market.
The stability came after the Central Bank of Nigeria (CBN) granted an extension to the Bureau De Change (BDC) operators, allowing them continued access to the dollar.
CBN Extends BDC Dollar Access, Ensures Stability
The acting director of the Trade and Exchange Department, W. J. Kanya, revealed this extension in a circular, allowing BDCs to continue purchasing foreign exchange under the same conditions as before.
The official exchange rate at the Nigerian Foreign Exchange Market (NFEM) closed at ₦1,499 per dollar, with data from the CBN confirming this steady performance.
Moreover, on the FMDQ Securities Exchange, the naira opened at ₦1,496.50 per dollar and closed at ₦1,498.95, showing a minor 0.22% depreciation from the previous day’s rate of ₦1,495.60.
Authorised dealers set the dollar price at a slightly lower ₦1,502, compared to ₦1,500 on the previous day. Currency dealers offered rates of ₦1,494, down from ₦1,480 on Monday.
The Directive
Initially, a directive issued in December 2024 allowed BDCs to buy up to $25,000 per week from authorised dealers, with the original expiry set for January 31, 2025.
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However, with the extension, the CBN pushed this deadline to May 30, 2025, ensuring that BDCs could still meet the retail forex demand for invisible transactions.
This decision reflects the CBN’s ongoing commitment to regulating the foreign exchange market amid volatility.
Furthermore, The central bank continues to provide liquidity, reduce price fluctuations, and offer a sense of stability to BDC operators who have been navigating uncertain market conditions.
For the market, the extension reassured operators, easing concerns about access to foreign exchange.
It highlighted the central bank’s proactive approach in maintaining an orderly currency market.
Additionally, the CBN balanced the interests of operators, the public, and the broader economy during a period of financial reform.
Through these actions, the CBN reaffirmed its determination to manage forex demand and support market stability.
