The naira firmed to N266 to the dollar on the
unofficial market on Wednesday, gaining 1.5 per
cent after the Central Bank of Nigeria sold dollars
to exchange houses and as demand for the US
currency slowed, traders said.
The central bank sold $10,000 to each of more
than 2,000 bureau de change operators, Aminu
Gwadabe, the head of Nigeria's bureaux de
change association, told Reuters.
He said the intervention would be the last for the
year. The naira had fallen to a record low of N280
to the dollar last week after the central bank
advised commercial banks to limit how much
customers could spend abroad using their debit
cards.
"The pressure on the market has slowed because
most businesses are closing down for the year,
while the number of those travelling abroad has
fallen," Gwadabe said.
On the official interbank market, the naira closed
at N199.50, some 1.26 per cent weaker than the
central bank's peg rate.
Traders said since the central bank closed its
intervention window this week, the naira has been
trading at two naira above the peg rate. The
Nigerian money market re-opens next Tuesday.




http://www.thisdaylive.com/articles/naira-appreciates-on-parallel-market-after-cbn-dollar-sales/228758/#.Vnzt_lFZCmw.facebook

nwayo nwayo

Strong economies tend to have strong currencies While weak economies tend to have weak currencies, So they say.

Declining growth and corporate profits can cause
investors to fold up and take their money elsewhere. Reduced investor interest in Nigeria can weaken our currency as well...

But all the same... Thanks to the smart decision by the CBN...