See the Current Value of Naira as it Experiences Significant Depreciation Against the Dollar
The Naira experienced a substantial depreciation against the dollar in the foreign exchange market. According to data from FMDQ, the Naira’s value dropped significantly to ₦1561.98 per dollar on Wednesday, compared to ₦1532.58 per dollar on Tuesday. This change represents a loss of ₦29.4 against the dollar within a single day.
In the parallel foreign exchange market, the Naira also fell, reaching ₦1560 per dollar on Thursday, down from ₦1540 the previous day. This indicates a depreciation of ₦20 per dollar in that market segment.
Further analysis reveals that the Naira lost ₦29.4 and ₦20 against the dollar on Thursday in both the official and parallel markets, respectively. This decline surpasses the ₦22.91 depreciation recorded from last Friday to Wednesday.
Despite an increase in Nigeria’s external reserves, which stood at $34.66 billion as of July 4, 2024, the Naira continues to weaken. The last time the Naira approached the ₦2000 per dollar mark was on February 20, 2024, when it traded at ₦1825 per dollar.
This ongoing depreciation trend indicates increasing pressure on the country’s currency, raising concerns about its impact on the economy.
