The Nigerian Naira has continued to struggle, with its value dropping further against the dollar. This decline is evident in both the parallel and official markets, fueled by speculation and hoarding.
Additionally, the withdrawal of some Bureaux De Change (BDCs) from the Central Bank of Nigeria’s (CBN) dollar sales program has added to the currency’s woes.
Despite efforts to curb street currency trading through nationwide raids and arrests, the Naira depreciated to N1,435 per dollar in the parallel market, marking a decline from N1,415 per dollar just a day prior.
Similarly, in the Nigerian Foreign Exchange Market (NAFEM), the Naira lost ground, falling to N1,421.06 per dollar.
Data from the Financial Markets Dealers Quotations (FMDQ) revealed a concerning trend, with the indicative exchange rate for NAFEM dropping to N1,421.06 per dollar from N1,416.57 per dollar, signaling a depreciation of N4.49 for the Naira.
As a result, the gap between the parallel market and NAFEM rates has widened significantly, now standing at N13.94 per dollar, compared to just N1.57 per dollar previously.