The Nigerian naira fell to an all-time low of N1,681.45 per dollar at the official foreign exchange (FX) market on Wednesday, reflecting the continued pressure from strong demand for the U.S. dollar.
According to data from the FMDQ Securities Exchange Limited, the naira depreciated by 0.6 percent, dropping from Tuesday’s rate of N1,671.32/$ to Wednesday’s closing rate at the Nigerian Autonomous Foreign Exchange Market (NAFEM).
This ongoing depreciation highlights the challenges facing the Central Bank of Nigeria (CBN), despite its recent policy efforts to stabilize the currency. Year-to-date, the naira has lost 41.2 percent of its value, falling from N988.46 per dollar at the beginning of the year.
Market turnover also saw a decline on Wednesday, slipping by 10.05 percent to $196.78 million from $218.77 million on Tuesday, indicating reduced dollar liquidity. In the day’s trading, the naira hit an intraday high of N1,690/$ and a low of N1,620/$ before settling.
On the parallel market, commonly referred to as the black market, the naira remained steady at N1,730 per dollar. Compared to January’s rate of N1,490/$1, this marks a 13.9 percent or N240 depreciation in the currency on the black market.
With demand for foreign currency persisting and supply constraints unresolved, the naira continues to face downward pressure, presenting ongoing challenges for Nigeria’s economic stability.
 market on Wednesday, reflecting the continued pressure from strong demand for the U.S. dollar.){kind=link}