NAIRA SLUMP CONTINUES, HITS 900/$ ON THE OFFICIAL WINDOW

On Thursday, the Naira recorded a new low on the parallel market at 1400/$ despite current efforts from the Central Bank of Nigeria to restabilize the national currency. This report was confirmed by Bureau De Change operators, stating that due to dollar insufficiency, the Naira fell to an all time low of #1400/$ on Thursday.

The further drop of the Naira was seen because of the high demand for dollar. However, on the official Investor to Exporter window, the Naira fell by about 2.12% from 882.24/$ to 900.96/$ when it closed on Wednesday.

Also, on the crypto currency P2P (peer to peer) market, the Naira also stagnated. It rose to a high of about 1400/$. On the Binance P2P platform, the Naira read about 1398/$. It was reported that CBN invested 2 billion from Fx backings into the economy, also NNPC acquired a loan of $2.25 billion for an oil to cash facility from the African Import Export Bank to improve foreign exchange liquidity.

These actions are still yet to be reflected in the parallel market rates. According to the CBN governor, Olayemi, the market would stabilise in 2024. He made his statement on the projection of the drop in the importation of petroleum based products and a new policy implementation by the CBN, the market determined exchange rate policy.

Furthermore, he highlighted the fact that the Naira is undervalued. Lately, the Group Managing Director of Cowry Asset Management Limited, Johnson Chukwu, predicted that the naira might depreciate to N1,500/$ in 2024.

Daniel Princewill
Daniel Princewill
Daniel Princewill is content and creative writer, poet, sports blogger, student and teacher on a variety of courses. He is passionate about education and the empowerment of youths through active learning and reading habits.

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