Naira continues getting weak as falls further in parallel market

The Nigerian Naira is now going for N1,740/$1 in the parallel market as at Sunday, October 27.

The Naira showed minor appreciation in the Nigerian Autonomous Foreign Exchange Market, NAFEM, as dealers speculate that the Central Bank of Nigeria, CBN, would likely intervene very soon on the exchange rate.

Data from FMDQ showed that the indicative exchange rate for NAFEM fell  to N1,600 per dollar from N1,601.2 per dollar on Thursday , indicating N1.2 appreciation for the naira.

If this trend of depreciation continues, by end of the year the local currency would have wiped out the gains it made in March this year when it suddenly appreciated massively, climbing down from an all time high rate of N1,820/ $1 in February 2024 to N1,310/ $1 and further down to N1,240/ $1.

Year-on-Year, YoY, the Naira depreciated in the parallel market by 70.5 percent to N1,705 per dollar at close of third quarter trading on September 30, 2024 from average N1,000/ $1 in September 2023.