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Nigerian naira hits record black market low of 1,100 per dollar -abokiFx

Nigerian naira hits record black market low of 1,100 per dollar -abokiFx
New naira notes on display   -  
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Nigeria

The Nigerian naira faced a significant devaluation, reaching a new low of 1,100 naira per US dollar on the black market, as reported by online platform abokiFX on Wednesday.

This depreciation comes just a day after the official market also recorded a new low due to ongoing dollar shortages, with the naira dropping to 980 naira per dollar.

The freefall of the naira in the unofficial market has been exacerbated by the removal of currency restrictions on the official market. These restrictions had previously propped up the naira's value. 

The central bank has announced plans to intermittently intervene in the foreign exchange market to bolster liquidity, following the lifting of an eight-year ban on certain items accessing dollars on the official market.

Last month, the naira had already surpassed the 1,000 naira per dollar mark on the black market. This continued devaluation is largely driven by the overflow of excess dollar demand from the official market into the informal market.

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