Naira drops to N1,534/$ at official market — new all-time low

Naira, on Monday, fell to N1,534/$1, a record low at the Nigerian Autonomous Foreign Exchange Market (NAFEM), the country’s official foreign exchange (FX) window.

The local currency depreciated by 4.38 percent from N1,469.97/$1 recorded on February 9, according to FMDQ Exchange, a platform that oversees FX trading in Nigeria.

At the parallel section of the FX market, the naira depreciated to N1,505/$ — a 0.33 percent decline from N1,500/$ reported on February 7, 2024.

Currency traders at the street market quoted the buying price of the greenback at N1,450 and the selling price at N1,500.

With the current rate, the value of the naira at the official market again surpassed the parallel market rate by N29.

Meanwhile, on February 1, 2024, the Central Bank of Nigeria (CBN) continued its foreign exchange market reforms by removing the limit on the FX rate quoted by international money transfer operators (IMTOs).

“For the avoidance of doubt, by this circular, the cap on allowable limit of -2.5% to +2.5% around the previous day’s closing rate of the Nigerian Foreign Exchange Market is hereby removed,” the apex bank said.

The apex bank, on February 12, also discontinued the exchange rate market cap on the spread of interbank foreign exchange transactions.