The naira weakened by 1.13 per cent against the dollar at the parallel market on Monday amid rising demand for hard currencies.
The local currency fell to 223 to the dollar at the parallel market, down from 220.50 to the dollar it recorded on Friday.
“The market is experiencing strong demand for the dollar from some individuals and businesses stocking for school resumption,” one trader said.
The naira had traded as low as 240 to the dollar after the Central Bank of Nigeria listed some 41 items that could not be imported at the official exchange rate.
It strengthened after the CBN increased the supply of dollars to Bureaux de Change operators, where importers were buying their dollars.
“The demand for the dollar is increasing while some customers are willing to buy at whatever rate they can get,” the President, Association of Bureau de Change Operators, Aminu Gwadabe, said.
The naira, which traded at 198.50 to the dollar on the interbank market earlier on Monday, closed at the 197 to a dollar peg rate set by the central bank.
Last Monday, the naira dropped by 2.3 per cent to 218 against the dollar at the parallel market. Forex traders linked the development to huge demand for the dollar by importers, politicians and investors.
Prior to this, the naira had hovered between 208-210 against the dollar after the central bank increased dollar sales to the BDCs in a bid to narrow the margin between parallel and interbank market rates.
Some forex dealers said a number of people were buying up dollars to pay school fees and other commitments abroad, fuelling a surge in demand at the parallel market.
Gwadabe had observed that rumours of further depreciation of the naira and likely stoppage of the CBN window to the BDCs were also creating high speculation and artificial scarcity in the forex markets.
Punch reportage.
The Dollar's presence is so strong in Nigeria but lets not give up hope...The last administration almost turned the dollar to Nigeria's currency so it isnt gonna be easy i guess.
Let me go and check how much Euro is now...
someone should please explain this to me, i dont comprehend
ReplyDeleteCBN backstabbers. APC government cannot do anything. Liars everywhere.
ReplyDeletei am waiting for N1 to a dollar. Abi no be una talk am.
Don't worry at the end of 4 years they will say they need 4 more to do that, all these people are thesame.
DeleteStella, which last administration almost turned dollar to Nigerian currency. Pls if u dunno wat to say sometimes, dont say anything cos u will soon come and explain how they had a hand in it.
ReplyDeleteWhat does this fry know again?
DeleteStupid child.
Fry? Dyu suddenly have ibo accent ashana?
DeleteOlodo. I said it.
DeleteYou attended Eleja 1.
Foolish child.
Your daddy ashana.
Seen
ReplyDeleteAnd Buhari is not doing anything about this?...
ReplyDeleteNonsense and ingredient!!....
Failed president in a failed country...
Don't call me selfish but this is a good news *on my own end @least*
ReplyDeleteYes we all know price of goods is gona increase and bla bla bla bt who are we kidding, all these sellers are thieves. Even those that bought their wares b4 d dollar increase would still sell @a higher price.
I wish d dollar would further increase to 250.
Mehn this is good news regardless
Same here pounds is £352 to 1 Naria. I have mixed feelings about the the exchange rate.
DeleteOkay Noted
ReplyDeleteYawns
ReplyDeleteHmmmm
ReplyDeleteDear lord pls balance our Economy Amen.
ReplyDeleteChai, waiting for dollars to equal one naira
ReplyDeleteThe economic downturn is due bad management by the new regime.
ReplyDeleteThe economy to is more important to nigerians that Buhari s over hyped false sainthood.
Iji ya...
DeleteAlways have it in mind that you are nothing but a piece of shit.
DeleteYour opinion does not count. Thank you.
And dis ashawo thinks her opinion counts??? Buhahahaha
DeleteAm waiting for the day one dollar will be one naira. It won't be long according to our magician President. Bubu I hail!!!
ReplyDeleteHmmmm not good at all
ReplyDeleteChincobee.blogspot.com
Hnmmm
ReplyDeleteRubbish ,they promised one naira to one dollar so what is this?i blame those that believed the gworo teeth mallam and his lies
ReplyDeleteGbam!...
DeleteNigeria where are we headed now. God help us
ReplyDeleteHmmm yet it is well.
ReplyDeleteWhen an economy is doing as well as the US economy is, it reflects on the currency of that economy.
ReplyDeleteForex traders worldwide usually depend on the unemployment rate released by the US on the first Friday of every month to know how the dollar will fare in the market. The unemployment rate in the US reduced to almost 5% this month, further strengthening the dollars against other currencies including the Naira.
Kai some ppl don't think sha!!!!!! Kai some of una brains small pass nama own. How can Buhari make d naira equivalent to one dollar in d first 100 days. Dts why u ppl will always fail @ evrytin u do cos u don't plan,no long term goals. Na now now ppl some of una be,if d dollar isn't 1 naira for u and he is able to lay d foundation for ur children to enjoy 1 naira to one dollar e no good. Is Buhari d market forces. He can only put measures to control d market but he can not tell ppl not to buy this or that.
ReplyDeleteWhat's my own dre... when i start spending dollars my comment will be visible till then...next please...AL
ReplyDeleteI agree with you. Nigerians are so impatient and it's the reason why we get cheated by dumb musicians that believe we are fools.
ReplyDeleteI believe that things would get better in time
ReplyDelete