Naira weakens further against Dollar at parallel market

May 20, 2020
28 Views

The Naira weakened against the dollar as it depreciated to N460 to a dollar at the parallel market, popularly referred to as the black market despite the volatility that persists in the foreign exchange market.

According to information from Aboki fx, this represents about 1.1% depreciation when compared to N455 to a dollar that it sold the previous day.

However, the local currency appears to have performed better against the pounds sterling as it sold for N540 to one pound sterling as against the N545 it traded the previous day.

The depreciation in the parallel market is coming against the backdrop of the surprising injection of about $90 million – $100 million into the foreign exchange market through the Wholesale Secondary Market Interventions by the Central Bank of Nigeria (CBN). This is supposed to help improve liquidity in the market and strengthen the Naira in the short run.

The depreciation in the parallel market is also in contrast to the stability in exchange rate movement at the investors and exporters’ window as it was still N386.33 to a dollar despite the sharp drop in the daily market turnover to $8.67 million at the window.

The increase in crude oil prices and the inflow of $3.4 billion from IMF, is expected to be a big boost to the foreign exchange market. The country’s external reserves seem to have had some positive movements in recent weeks as it is now well over $35 billion.

You may be interested

I’m done dating for love – BBNaija star, Princess
News
News

I’m done dating for love – BBNaija star, Princess

Webby - December 3, 2020

BBNaija star Princess Onyejekwe Princess Onyejekwe, Big Brother Naija star, has seemingly given up on love as she revealed where…

Kanu breaks silence as Odemwingie accuses his wife of wooing him
News
1 views
News
1 views

Kanu breaks silence as Odemwingie accuses his wife of wooing him

Webby - December 3, 2020

<!-- Osaze Odemwingie - Kanu and Amara --> Osaze Odemwingie – Kanu and Amara Ex Super Eagles Captain, Nwankwo Kanu…

BBNaija’s Mercy Eke sends message to men slut-shaming women
News
2 views
News
2 views

BBNaija’s Mercy Eke sends message to men slut-shaming women

Webby - December 3, 2020

<!-- Mercy Eke --> Mercy Eke By Taiwo Okanlawon Big Brother Naija star, Mercy Eke has slammed men and women…

Leave a Comment

Your email address will not be published.