The Naira continued its downward trend, depreciating to N1,585 per dollar in the parallel market on Wednesday, compared to N1,565 per dollar recorded the previous day. Similarly, in the Nigerian Foreign Exchange Market (NFEM), the Naira weakened further to N1,546 per dollar.
According to data released by the Central Bank of Nigeria (CBN), the indicative exchange rate for the Naira rose to N1,546 per dollar from N1,537 per dollar on Tuesday, marking a depreciation of N9. As a result, the exchange rate gap between the parallel market and the NFEM widened to N39 per dollar from N37 per dollar the previous day.
Market analysts attribute the continued depreciation to demand pressures and speculative activities, despite ongoing efforts by the CBN to stabilize the currency through various monetary policies. Observers note that uncertainty in the forex market has fueled concerns among investors and businesses relying on foreign exchange transactions.
