Skip to content
Home » Naira hits record low of N848/$ on official market

Naira hits record low of N848/$ on official market

Nigeria’s naira closed trading at a record low of N848 per dollar on the official market on Tuesday, according to data from FMDQ, as dollar shortages persist.

That’s 9 percent lower than the closing rate of N778/$ on Monday, representing the biggest single day decline this month.

The currency also fell to a low of N1,050 per dollar on the parallel market amid strong demand for dollars.

One of the traders said on Tuesday that individuals who want to travel for business, school, health and tourism are buying dollars from the street traders because they could not meet their demands from the official market.

Read also: Naira weakens as dollar liquidity decline

The CBN has said it will intervene in the foreign exchange market occasionally to boost liquidity, after it last week ended an eight-year ban on some items that were restricted from accessing dollars on the official market.

Read also: Naira faces further weakness amid dollar shortage, Fitch says

The embattled naira could however be set for a lift after lawmakers approved plans by the government to secure a $1.5 billion loan from the World Bank.

Wale Edun, the Finance Minister, told reporters in Abuja, the capital city, on Monday that the funding will be concessionary and is expected to be secured by December.

Nigeria will also seek $80 million of financing from the African Development Bank, he said.

Leave a Reply

Your email address will not be published. Required fields are marked *