Finance: Nigerian naira weakens to N366 per dollar at the parallel market

Nigerian naira firms against the dollar as CBN supports forex market with $210 million

The local currency falls to N366/$1 despite Nigeria's central bank persistent interventions at the forex market.

Nigerian naira has weakened to N366 per dollar at the parallel market on Wednesday from N363 it traded a week ago.

In the last three days, the local currency has dropped about N2 against the US dollar, according to data seen on the abokiFX, a daily Naira exchange rate in Lagos, Nigeria's commercial city.

Also at the I&E – Investors’ & Exporters’ FX Window, the naira also depreciated by 0.02% on Wednesday to close at N364.15 to the dollar. It remained flat at N306.80/$ at the CBN official rate.

This sharp drop came despite Nigeria's central bank persistent interventions at the forex market to the tune of $210million to support the naira.

In the latest round of intervention announced in Abuja, the CBN said it injected about $100 million in the wholesale segment of the foreign exchange market, $55 million each in the Small and Medium Enterprises (SMEs) and Invisibles segments to meet the needs of customers.

Isaac Okorafor, the Director, Corporate Communications Department at the CBN, assured of the Bank’s continued mediation in the interbank foreign exchange market in order to guarantee stability.

Last week, the CBN also intervened in the wholesale segment of the inter-bank foreign exchange market on Wednesday, November 21, 2018, to the tune of $210 million.

In its Economic Report for Third Quarter 2018, the apex bank revealed that a total of $11.88 billion was sold to authorised dealers.

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