CBN Quotes New Exchange Rates As Naira Depreciates Against US Dollar, Pound, Euro

• The Nigerian currency, the naira, extended its fall against the dollar in the foreign exchange market
• The latest exchange rate marks the second straight day of depreciation for the naira in both official and parallel markets
• The CBN will have to act quickly to prevent another poor run for the naira following its most recent intervention

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.

Naira’s value has depreciated against the United States dollar in the official and unofficial forex markets.

According to data from the FMDQ Securities Exchange, the naira for the second day dropped in value in the Nigerian Autonomous Foreign Exchange Market (NAFEM) to exchange at N1,586.04/$1 on Wednesday, July 14, 2024.

Wednesday’s exchange rate represents a 0.25% or N3.95 depreciation compared with N1,582.09/$1 it closed in the preceding session.

Read also

Naira records massive gains against dollar in official market as traders quote new rates

The naira’s fall comes amid a decline in forex transactions from banks and authorised dealers.

During the midweek session, total forex turnover was $92.39 million, $109.04 million or 54.1% lower than Tuesday’s turnover of $201.43 million.

Naira rate against pound, euro

CBN data also showed that the Nigerian currency declined in value against the pound sterling in the official market by N11.65 yesterday, settling at N2,029.71/£1 compared to N2,018.06/£1 the previous day.

It was the same story for the naira against the euro, as it lost N17.89 in value, exchanging at N1,742.48/€1 versus N1,724.39/€1 quoted in the preceding session.

Naira to dollar rate at black market

Meanwhile, traders told Legit.ng in the black market that the naira also depreciated against the dollar.

Abdulahii a BDC trader told Legit.ng

Read also

Again, CBN slashes Customs FX rate for cargo clearance after naira gains 7 days in a row

"We sold the naira at N1,600/$1, a N5 depreciation compared to the previous day’s rate of N1,595/$1.

Report predicts how Nigeria will get dollars

Legit.ng reported that a recent quarterly statistical bulletin from the Central Bank of Nigeria (CBN) has highlighted that foreign exchange (FX) consumers consumed more dollars in the three months ending in December 2023 than they did in the previous quarter.

The inflows will likely come from World Bank budget finance, NNPC-related flows, and Eurobond issuance.

The inflows will likely come from World Bank budget finance, NNPC-related flows, and Eurobond issuance.

Source: Legit.ng