The naira yesterday depreciated to ₦1,629 per dollar in the Nigerian Foreign Exchange Market (NFEM), despite a $688.8 million intervention by the Central Bank of Nigeria (CBN). This marks a ₦29 drop from the ₦1,600 recorded last Friday.
In the parallel market, the naira also weakened to ₦1,570 from ₦1,565, widening the spread between both markets to ₦59. Market reports attribute the pressure to strong demand from foreign portfolio investors and local corporates, outpacing available supply.
Also Read: Difference Between Parallel and Official FX Rates Drops To N22 As Naira Gains
According to the Afrinvest and AIICO Capital monthly reports, the naira lost 2.4 to 2.6 per cent in March amid sustained demand pressures, with CBN interventions offering only short-term relief. The apex bank’s support was undermined by global risk factors, including falling oil prices and recent tariff measures from the United States.
Volatility intensified midweek after an initial period of relative stability, driven by weakened oil prices, offshore demand, and OPEC+ supply hikes. The naira closed the week at ₦1,567.02, with foreign reserves dipping by $149 million to $38.15 billion.
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