Naira Crashes Further Against Dollar, See New Exchange Rate

The Naira depreciated in the parallel market on Tuesday, reaching N1,600 per dollar.

This new exchange rate was a reasonable drop from N1,590 per dollar over the weekend.

In contrast, the Naira strengthened in the Nigerian Autonomous Foreign Exchange Market (NAFEM), where it appreciated to N1,579.22 per dollar, up from N1,579.89 per dollar last Friday, marking a 67 kobo gain.

NAFEM, which caters to investors, exporters, and end-users, operates with exchange rates determined by current market conditions.

Data from FMDQ revealed that the volume of dollars traded in NAFEM increased by 41.4%, rising to $162.99 million from $115.23 million. Consequently, the gap between the parallel market rate and the NAFEM rate widened to N20.78 per dollar, compared to N10.11 per dollar last Friday.