FMDQ Weekly Report

Commentary on the Foreign Exchange (FX) market with data for the week ended November 1, 2019. clients for the weeks-ended October 4, 11, 18 & 25, 2019 as well as January – October 2019.

▪ The Central Bank of Nigeria (CBN) intervened through its periodic supply of United States (US) Dollars in the FX market, offering a total of $100.00 million via the Secondary Market Intervention Sales (SMIS) Wholesale Window on October 29, 2019. The apex bank sold $55.00 million each to both the Small and Medium-scale Enterprises (SMEs) and the Retail (Invisibles) segments (see

▪ In the Investors’ & Exporters’ (I&E) FX Window, the total value of trades for the week-ended October 25, 2019 closed at $0.87 billion, representing a decrease of 9.38% ($0.09 billion) when compared to the $0.96 billion reported in the previous week-ended October 18 2019, bringing the year-to-date (YTD) value of trades at the Window to $56.22 billion

▪ For the reporting week-ended November 1, 2019, the CBN official rate rose by ₦0.05 to close at $/₦307.00, indicating a 0.02% appreciation when compared to $/₦306.95 recorded the previous week-ended October 25, 2019

▪ In the Bureau-de-Change (BDC) market, the exchange rate also remained unchanged for the fifteenth consecutive week at $/₦360.00

▪ Still for the week-ended October 25, 2019, the Naira depreciated at the I&E FX Window, losing ₦0.64 to close at $/₦362.75 when compared to $/₦362.11 recorded the previous week, resulting in a spread of $/₦2.75 between the BDC market rate and I&E FX Window rate

▪ Also, the spread between the BDC market rate and the CBN official exchange rate fell by ₦0.05 to close at $/₦53.00, indicating a decrease of 0.09% from the spread of $/₦53.05 recorded in the previous week

▪ In the OTC FX Futures market, $372.19 million worth of OTC FX Futures contracts were traded in twenty-two (22) deals, compared to the total of $83.72 million traded in fourteen (14) deals for the week-ended October 25, 2019

Dealing Member-Client Spot FX Market Turnover Report

▪ For the week-ended October 25, 2019, trading activities in the Spot FX market between the DMBs and their clients stood at $1,423.17 million (average daily turnover of $284.63 million), representing an increase of 4.09% when compared to the $1,367.24 million (average daily turnover of $273.45 million), recorded the previous week-ended October 18, 2019

▪ A review of trading activities in the Spot FX market amongst banks for the week ended October 25, 2019, revealed an increase 20.46%, as a total turnover of $563.08 million (average daily turnover of $112.62 million) was recorded, against $467.43 million (average daily turnover of $93.49 million) reported the week-ended October 18, 2019.