As of Thursday’s closing price of N996.75/$ in the Investor & Exporter FX market, the naira has maintained its declining trajectory.
This is a 13.95 per cent decrease from the N874.71/$ it ended trading at on Wednesday, according to information from FMDQ OTC Securities Exchange.
The naira started the week at N780.23/$, and as of now, it has lost 27.75 per cent of its value.
It has received the designation from the World Bank as one of the worst-performing African currencies since the year’s commencement.
“Dollar is N1,100 if you want to sell,” said a dealer who only provided his name as Kadri. “If you wish to buy, it costs N1,140.”
News About Nigeria notes that earlier this week, Aminu Gwadebe, President of the Association of Bureaux De Change Operators of Nigeria, told Punch that the dollar was strengthening against the naira because those who acquired it at a higher price were opposing its decline.
“Speculators are always looking at elements of sustainability,” he remarked. They begin to respond when they see that the injection is not constant.
“They start to respond. It is the market’s reaction that we are seeing. There is also opposition. This does not benefit those who purchased at a higher price. People are unwilling to absorb any more losses.”
Concerned about the currency’s decline, the president has indicated that it is preparing steps to support the local currency.
Dr Tope Fasua, a Special Adviser to the President on Economic Matters who was representing Vice President Kashim Shettima at an event, stated, “For those who are speculating, praying, and wishing that the currency would become nonsense, I believe that the central bank is rolling out policies and the government that I serve, led by the President, will shock some of them.”
