The black market dollar to naira exchange rate hits over N1,100 on Thursday, October 19th, 2023, BrandSpur Nigeria reports.
In some parts of Lagos, dollar traded at the rate of N1,155, in Abuja some traders sold at N1,150 and in other areas at N1,120/$1.
This implies that in less than 12 hours, naira has depreciated by 5 percent (N55) from N1,100/$1 closed on Wednesday.
The combination of demands from 43 items restored to access foreign exchange and demands for school fees, among others, drove the sharp fall in the value of naira in two days.
The pressure on the FX market intensified on Tuesday and Wednesday as naira fell to lowest across market segments on strong demand after the Central Bank of Nigeria (CBN)’s move for a single forex market rate.
However, the Naira strengthened against the dollar at the official market, gaining 6.77 percent despite declined liquidity in the market on Wednesday.
At the close of trading on Wednesday the dollar was quoted at N790.68, which was weaker than N848.12 quoted on Tuesday at Investors’ and Exporters’ (I&E) forex window, data from the FMDQ showed.
The daily FX market turnover, which reflects the level of transaction or inflows in the market, declined by 47.96 percent to $69.88 million on Wednesday from $134.28 million recorded on Tuesday.
