Nigeria: Naira Slips At Official Market

The currency slipped by 0.4 per cent against the dollar at the Nafex window on Monday.

Naira depreciated by 0.4 per cent against the U.S. dollar on Monday, data published by FMDQ, where forex is officially traded showed.

The currency which opened trading at N419.71 closed at N421.33 to a dollar at the close of business on Monday.

The local currency hit an intraday high of N413.00 and stooped to a low of N444.00 before settling at N421.33 per $1, with $46.07 million posted as foreign exchange turnover at the close of business on Monday.

The highest rate the naira has traded against the greenback currency this month at the official market so far was when it closed at N419.75 per $1 on June 6, and the weakest rate it has recorded this month was when it closed at N422.50 to a dollar on June 9.

By implication, the N421.33 to a dollar the naira closed with at the close of today's business is the second weakest rate it has traded within the past two weeks.

Within the past six months, the naira has been hovering within the range of N419.00- N422 and above benchmark after it touched an all-time low of N435.00 per $1 at the last business day of 2021.

At the Uyo and Abuja street markets, dealers exchanged the naira at N604.00 and sold N608.00 to a dollar at Uyo, while Abuja dealers sold at no fixed price on Monday.

Exchangers at the black market attributed the continuous fall of the naira against the dollar to scarcity of forex they are currently experiencing.

"We used to get over $20,000 if we wanted to buy before, but now we struggle to buy even $2000," said Shuaibu, a currency dealer at Uyo street market.

"It is the scarcity of dollars that is driving the high exchange rate," he added.

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