By Lawal Aminat Abiodun (Siwes Student, DS Adegbenro ICT Polytechnic)
On Monday, the Nigerian naira experienced a significant decline against the US dollar in the parallel market, reaching an average rate of ₦1,030 per dollar. This represents an 8.42% decrease, or a loss of ₦80 compared to the previous week’s closing rate of ₦950 per dollar.
This is the first time the naira has experienced a decline since the Central Bank of Nigeria started addressing its foreign exchange backlog. Currency traders, also known as Bureaux De Change operators, have reported that the naira is being traded within the range of ₦990 to ₦1,030 per dollar. The depreciation of the naira is attributed to individuals resisting the fall of the dollar after the recent actions taken by the Central Bank of Nigeria.
Additionally, the naira depreciated by 3.6% in the official market, closing at a rate of ₦809.02 per dollar on Monday, compared to ₦780.23 per dollar on Friday, as reported by the FMDQ OTC Securities Exchange.”
