Naira Hits Record Low Of N1,300/$

The Nigerian currency, the naira, faced a substantial decline, plummeting to a rate of N1,300 against one US dollar in the Peer-to-Peer (P2P) cryptocurrency market, as reported on Tuesday.

This depreciation extended its reach to the parallel market, where traders verified that the naira was indeed trading in close proximity to the N1,300 mark. Even on the Binance platform, a widely-used cryptocurrency exchange, the naira was quoted above this threshold in its exchange with the dollar.

Bureau de Change Operators mirrored these sentiments, with Magaji Muhammed from Abuja confirming the surge to N1,300 per dollar, attributing the spike to a notable increase in demand. Adding a layer of nuance, another operator, Abubakar Taura, offered a slightly lower rate of N1,280 per dollar, indicating a degree of variability among sellers in the market.

Despite closing at N838.95 to the dollar at the FMDQ OTC Securities Exchange the previous day, Monday, the naira’s value continues its downward trajectory. This ongoing depreciation persists despite the government’s concerted efforts to enhance liquidity in the official market.

One such initiative involved the Nigerian National Petroleum Company Limited securing a substantial $2.25 billion portion of a $3.3 billion oil-for-cash loan facility from the African Export-Import Bank. This move was strategically aimed at bolstering foreign exchange liquidity within the country. However, the impact of these measures appears to have yet to yield the desired stability in the naira’s exchange rate against the US dollar, leaving stakeholders and the public grappling with the implications of this persistent depreciation.

This recent development raises concerns about the resilience of the naira in the face of economic challenges, prompting further discussions on potential interventions and long-term strategies to safeguard the stability of the Nigerian currency in the ever-fluctuating global financial landscape.

Send Us A Press Statement Advertise With Us Contact

 And For More Nigerian News Visit GWG.NG