Shocker! Naira falls further, hits all-time low
– Naira hits new all time record low
– Panic buying weakening naira amid dollar scarcity
Nigeria’s naira has dramatically fallen further on the black market on February 18, Thursday as demand for the U.S. currency enlarged amid a plunge in crude oil prices and foreign exchange restrictions by the Central Bank of Nigeria (CBN).
Earlier yesterday, the exchange rate at parallel market was N385, but it was shocking as the rate changed to N400 as at of yesterday night.
READ ALSO: Naira depreciates drastically on black market, see new rate
At the same time, Punch reports that the naira hit 391 against the American dollar.
The currency has continued a free-fall mode at the parallel market, having lost 26% of its value in less than two weeks.
The naira, which closed at 310 against the greenback last Monday, has been depreciating constantly and significantly in the past 11 days.
Financial analysts linked the continual fall of the local currency to panic buying of the dollar and other main hard currencies by importers, individuals and businessmen.
Aminu Gwadabe, president of Lagos-based Association of Bureau de Change Operators of Nigeria said: “As the currency drops in value, more people engage in panic buying.
“There are importers looking for dollars at all costs to keep their businesses going.”
READ ALSO: Naira plunges to a new record low against dollar
Central Bank of Nigeria stopped selling foreign exchange to money changers last month as a part of the latest in a series of controls aimed at supporting the naira at a fixed peg of 197-199 per dollar on the official interbank market since March 2015 year.
Nigeria has limited foreign currency trading at banks, causing a shortage of dollars in an economy that imports most of its manufactured goods,
The post Shocker! Naira falls further, hits all-time low appeared first on Nigeria News today & Breaking news | Read on NAIJ.COM.