Nigeria’s official exchange rate fell to a month to date low of N1,300/$1 on Tuesday April 23, 2024 according to data from the FMDQ, where the exchange rate trades officially.
This represents a 5.05% depreciation from the N1,234.49/$1 reported on the first day of the week, continuing with the weakness that started on Friday.
The exchange rate has now weakened by 17.49% in a matter of 5 days as concerns mount over the central bank’s ability to sustain the gains recorded in recent weeks.
According to data from the FMDQ, the exchange rate closed at at N1,300.15/$1 on a total daily turnover of $133.65 million.
Over the weekend, the Central Bank Governor, Yemi Cardoso stated that the Naira has been declared the best performing currency globally as of April, 2024.
Citing the drop in external reserves, reports that the central bank has been defending the naira also triggered a response from the CBN Governor, who opined the bank was not defending the currency.
Rather he pointed that the “ups and downs” being observed from due to the effect of market forces.
Meanwhile, the Central Bank issued a new circular to all Bureau De Change (BDC) operators announcing a fresh sale of forex at reduced rate of N1,021 per dollar.
This initiative represents the second such occurrence this month and the fourth instance this year, underlining the CBN’s proactive strategy in managing currency volatility and ensuring the availability of essential foreign exchange.