Business
Naira Depreciates Against Dollar Amid Declining FX Supply
The naira experienced a depreciation against the dollar at the foreign exchange market as the week commenced, following a further decline in FX supply.
According to data from the FMDQ, the naira weakened slightly to N1635.15 per dollar on Monday, down from N1631.21 on Friday of last week, marking a marginal decline of N3.94.
In the parallel market, the naira also fell, exchanging at N1775 per dollar on Monday, compared to N1770 at the end of the previous week.
This downturn coincides with a significant drop in daily foreign exchange transaction turnover, which fell to $126.24 million on Monday from $238.36 million on Friday.
Last Thursday, the Central Bank of Nigeria implemented new FX code guidelines aimed at stabilizing the naira; however, the currency continues to experience fluctuations despite these measures. Notably, the naira lost N89.27 against the dollar last week alone.