On Wednesday, the Nigerian naira depreciated to N1,561 against the dollar at the Nigerian Autonomous Foreign Exchange Market (NAFEM).
The rate signifies a decrease of 1.88 percent from the value (N1,532) documented on July 9.
Based on data from FMDQ Securities Exchange, the local currency in Nigeria experienced a high of N1,585 and a low of N1,475 during intra-day trading.
The latest FX figure is the lowest it’s been since March 18, when the naira was at N1,572 to the greenback.
In the parallel section of the market, the local currency took a slight dip on Wednesday, trading at N1,550. This represents a 0.65 percent depreciation from its value of N1,540 on July 9.
The currency traders, also known as bureau de change (BDC) operators, have set the buying rate at N1,530 and the selling price at N1,550, resulting in a profit margin of N20.
TWO-DAY DEPRECIATION
There have been some minor ups and downs in the local currency’s value in both the parallel and official markets over the past couple of days.
In just a few days, the local currency took a bit of a nosedive at the official market. It went from N1,509/$ on July 5 to N1,523 on July 8, and then dropped even further to N1,532 on July 9.
The exchange rate experienced a slight uptick to N1,523 per dollar on July 8 at the parallel market, compared to N1,525 on July 5.
On July 9, the rally took a swift turn as the currency plummeted to N1,540.
In just two days, the naira has experienced a decline, while Nigeria’s external reserves have seen an increase.
The external reserves of one of Africa’s largest economies have soared to $35.05 billion on July 8, marking the highest level since May 30, 2023.
