The naira dropped across both official and parallel markets on Wednesday, closing at N1,591/$1 in the official market. This is a 0.44% depreciation from Tuesday’s rate of N1,584/$1.
After sustaining a seven-day straight upward trajectory, the naira has resumed its downward movement, continuing the fluctuations seen in recent weeks.
Data from the Nigerian Foreign Exchange Market (NFEM) showed that the currency fluctuated between N1,589.50/$1 and N1,595/$1 during Wednesday’s trading session.
In the parallel market, the naira also recorded a decline against all major foreign currencies as it fell to N1,620/$1, down from the last close of N1,610/$1.
It depreciated by 0.23% against the British Pound to N2,145/£1, from the prior rate of N2,140/£1. It also followed the same trajectory of depreciation against the euro as it fell to N1,790/€1, a 0.28% drop from the previous N1,785/€1.
The naira depreciated across official and parallel markets on Wednesday, highlighting the volatility of the foreign exchange market and persistent demand pressure weighing down the naira.
As the dollar-to-naira exchange rate remains a focal point of the economy, market participants anticipate the continuous support of the Central Bank of Nigeria (CBN) to stabilize the currency.
