According to currency traders and economists, the local currency inconsistency in the black market has been triggered by increased scarcity of the greenback.
However, there are reports that the naira is on the path to recovery as banks were set to sell Forex to Bureau De Change Operators (BDCs). According to a Bureau de change source who spoke to NAIJ.com, licensed members in the parallel market had received signals from banks to fund their accounts in readiness for the sale
He said the resumption in dollar sale to BDCs will see the dollar appreciate in all the segments of the forex market.
It will be recalls that CBN had in January, suspended dollar sales to BDCs due to decline in the country’s foreign exchange earnings, and sharp practices by BDCs.
The apex bank however last month floated the naira as it introduced the foreign exchange policy, which allows for the determination of the exchange rate by market forces of demand and supply. But in spite of the policy shift, scarcity of dollar has not allowed naira any respite as demand for dollars always outstrips supply.