Stories By Amaka Ifeakandu
Lagos
The nation’s currency (naira) continues to appreciate in most segments of the foreign exchange market. The naira appreciated against the dollar at the importers and Exporters Foreign exchange window (I &E FXW), Bureaux De Change and parallel market by 0.14 per cent, 0.28 per cent, and 0 27 per cent to N360.33 to a dollar, N360/ dollar and N364/dollar respectively.
At the Interbank forex market segment, the local currency remained steady, exchanging at N330 to a dollar.
Meanwhile all dated forward contracts at the interbank OTC segment appreciated amid sustained increase in the foreign exchange reserve.
Operators were of the view that there would be favourable forex market this week amid sustained stablility in global crude oil prices which should result to further build up in foreign reserves as well as Central Bank of Nigeria (CBN) continued with intervention to need the demand at the internal forex market.
However, data has shown that the participation of portfolio investors in the Nigeria equity market has continued to gain momentum following the introduction of investors and exporters Foreign exchange window by the CBN.
The FX window according to forex users has help to ease forex scarcity and challenge in the market. Foreign investors participation in equity market attains a peak growth of 284.76 per cent in equity trading in March this year. The figure according to data by NSE went down by 20. 62 per cent in the month of April 2017. The downward trend rebound in May by 134.57 per cent growth.
For the month of August, September and October portfolio investment in the Exchange grew by 271.64 per cent, 93.34 per cent and 116.5 per cent respectively.
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