The Central Bank of Nigeria (CBN) has given commercial banks and dealers in the forex market the green light to sell forex freely which is at a market-determined rate.
Nigeria officially floated its naira currency after years of defending the naira against a free fall. A market rate based on a willing buyer and a willing seller is currently being quoted by banks. The rate being quoted is between N750 and N755 per dollar.
This is in line with the promise of President Bola Tinubu to unify the multiple exchange rate in the market.
The development means banks can now sell forex at market-determined rates, suggesting Nigeria is now operating a freely floating exchange rate.
However, official confirmation will have to come later in the day when data from the FMDQ is available.
