CBN Releases New Exchange Rates As Naira Crashes Further Against Dollar, Pound, Euro
- The naira has depreciated against the US dollar and other currencies in the foreign exchange markets
- New CBN data shows that the Nigerian currency is now trading above N1,530 in both the official and unofficial markets
- Bureau de Change operators have asked the CBN to work with them to help stabilize the naira rates
- Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The value of Nigerian currency has crashed further against the US dollar, euro, and British Pound in the official and unofficial foreign exchange market.
According to data from the Central Bank of Nigeria at the end of trading at the Nigerian Foreign Exchange Market (NFEM) naira fell to 1,535.73/$1 on Tuesday, March 11.
Source: Getty Images
Tuesday's exchange rate showed that the Nigerian currency lost 0.22% or N3.44 compared to the closing rate of N1,532.29/$1 on Monday, March 10.
It was the same outcome for the naira against the British pound sterling and also the euro in the official market.
Data showed that the naira closed against the pound sterling at N1,985.93/£1 on Tuesday which is higher than the closing rate of N1,978.48/£1 a day earlier.
Similarly, the naira depreciated further to the euro as it ended Tuesday's trading at N1,675.4/€1 compared to Monday's rate of N1,658.07/€1.
The depreciation of the naira continued in the parallel market also known as the black market.
In the black market, Bureau de Change operators confirmed that the dollar was sold at a parallel higher rate of N1,580/$1 compared to the previous day's rate of N1,575/$1.
Abdulahhi, a BDC trader gave a breakdown of the exchange rate to Legit.ng:
"I sell the dollar at N1,580/$1 and buy at N1,568. For the pound and euro, I sell at N2,010 and N1,685, and buy from my customers at N1,990 and N1,970, respectively."
Source: Getty Images
Here is a snapshot of CBN's exchange rate against other foreign currencies' below:
- CFA: N2.53
- Yuan/renminbi: N212.45
- Danish krona: N224.61
- Euro: N1,675.48
- Yen: N10.42
- Riyal: N409.60
- South African rand: N84.10
- Swiss franc: N1,746.42
- Pounds sterling: N1,985.94
ABCON sends a message to CBN
Aminu Gwadabe, president of the Association of Bureau De Change Operators of Nigeria (ABCON), has called on the CBN to resume direct sales of dollars to traders.
He revealed that commercial banks are not selling to them and that the apex bank's intervention is needed for naira stability.
Bank releases new requirements to buy dollar
In a previous report by Legit.ng, Wema Bank announced the availability of foreign exchange (FX) for personal transactions under the newly launched Electronic Foreign Exchange Matching System (EFEMS).
The bank stated this in an email update sent to customers titled; 'Important update: EFEMS funds for invisible transactions are now available.
The dollar is sold at a cheaper rate in the official market compared to the black market.
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Proofreading by James Ojo, copy editor at Legit.ng.
Source: Legit.ng
Dave Ibemere (Senior Business Editor) Dave Ibemere is a senior business editor at Legit.ng. He is a financial journalist with over a decade of experience in print and online media. He also holds a Master's degree from the University of Lagos. He is a member of the African Academy for Open-Source Investigation (AAOSI), the Nigerian Institute of Public Relations and other media think tank groups. He previously worked with The Guardian, BusinessDay, and headed the business desk at Ripples Nigeria. Email: dave.ibemere@corp.legit.ng.
James Ojo (Copyeditor) James Ojo is a copy editor at Legit.ng. He is an award-winning journalist with a speciality in investigative journalism. He is a fellow of Nigeria Health Watch Prevent Epidemics Journalism Fellowship (2023), WSCIJ Collaborative Media Project (2022), ICIR Health Reporting (2022), YouthHubAfrica’s Basic Education Media Fellowship (2022), Countering the Fake News Epidemic (MacArthur Foundation) 2021, and Tiger Eye Foundation Fellowship. Email: james.ojo@corp.legit.ng
