Naira crashes to new low as politics takes centre stage

What could save the Naira now would be top on the list for the Central Bank of Nigeria (CBN) as it fell again to a new low at the Investors and Exporters (I&E) segment of the foreign exchange market.

Data from FMDQ securities where Naira is officially traded revealed that the value of the Naira to the Dollar depreciated on Monday by N1.25 or 0.18 per cent to N420.25/$1 from the previous session’s rate of N419.00/$1.

The market is presently strained as dollar appeared limited for those truly in need, owing to ongoing politicking.

During transactions on Monday at I&E window, demand for dollars rose by $15.07 million or 13.97 per cent to $122.91 million from the previous session’s $107.84 million.

The increased demand saw Naira fall to as low as N444.00 to a dollar before closing at N420.25/$1

Similarly, the domestic currency depreciated against the Pound Sterling by 88 kobo to trade at N525.45/£1 compared to the previously traded rate of N524.45/£1.

Read also: Naira value continues to depreciate across Forex markets

Naira also lost more value against the Euro, dropping by N2.31 to trade at N447.57/€1 versus last Friday’s N445.26/€1.

However, at the Peer-to-Peer (P2P) segment, the Naira gained N1 against the US currency to settle at N616/$1 in contrast to the preceding session’s N617/$1.

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