NAIRA CRASHES TO NEW RECORD LOW OF N495/$ AT BLACK MARKET
The exchange rate of the Naira at the parallel market fell to a new record low closing at N495/$1 on Thursday, November 26, an N8 drop from Wednesday, when it exchanged for N487/$1.
The Central Bank of Nigeria, CBN on Monday, September 7, sold about $1 BILLION TO BDCs to inject more liquidity into the retail end of the foreign exchange market.
The CBN’s intervention strengthened the naira by about 7% within a week in September. However, the naira has remained volatile and has steadily declined thereafter.
Financial experts believe the continuous fall of the Naira despite the drop in speculative buying of foreign exchange is due to low oil prices, dollar scarcity, and a demand backlog by manufacturers and foreign investors.