On Wednesday, Nigeria’s currency, the naira, experienced a depreciation against the US dollar in the foreign exchange market. Official data from FMDQ revealed that the country’s currency declined to N840.53 against the dollar at the close of business on Wednesday, compared to N830.97 the previous day. This indicates a N9.56 depreciation compared to the exchange rate at the close of business on Tuesday. This marks the second instance of the country’s currency depreciating on the official FX market since last week.
Similarly, at the Parallel Market, the naira was exchanged at N1,150/$1 on Wednesday, up from N1,130/$1 on Tuesday. Concurrently, the country’s forex turnover increased by 61.86%, reaching $198.21 million.
The context for this comes amid the Central Bank of Nigeria (CBN) Governor, Dr. Olayemi Cardoso, failing to hold a Monetary Policy Committee meeting for the second time in two months. It’s noteworthy that the naira has experienced fluctuations in the FX market since the introduction of reforms by the CBN in June of the current year.