Naira Seen Easing Ahead of New CBN Policy

The Nigerian naira is seen easing slightly against the dollar on the parallel market in the coming days as the central bank moves to release details of its new flexible exchange rate policy, Reuters reports.

The local currency was quoted at 368 to the dollar on the black market on Friday, compared with 350 last week. The naira was trading at 197.50 a dollar on the official interbank market, around the peg rate of 197.

The head of United Bank for Africa (UBA) Philips Oduoza said on Thursday details of Nigeria's flexible currency model will be ready in a "short while", after chief executives of the country's lenders met with central bank officials.

The announcement halted the free fall of the naira, while many traders expecting that the announcement of the detail would spur the alignment of the parallel market rate and the official window.