Naira Weakens Again as Currency Struggles Continue

The Nigerian naira extended its decline against the US dollar on Friday, continuing a trend of sustained pressure in both the official and parallel foreign exchange markets. For the fifth consecutive trading day, the local currency failed to appreciate, reflecting ongoing challenges in stabilizing the forex market.

At the parallel market in Abuja’s Wuse Zone 4, bureau de change operators reported a further slide in the naira’s value. Currency trader Abubakar Alhasan confirmed that the naira was exchanged at N1,640 per dollar on Friday, weakening from N1,630 traded the previous day—a daily drop of N10.

Similarly, in the official FX market, the naira closed at N1,609.63 per dollar on Friday, slightly lower than Thursday’s rate of N1,608.60. This downward movement in both markets underscores the persistent volatility facing Nigeria’s currency despite efforts by monetary authorities to shore up the naira through policy adjustments and interventions.

The consistent weakening of the naira comes amid broader economic concerns, including inflationary pressures and demand-supply imbalances in the foreign exchange market. Analysts suggest that without significant improvement in forex inflows and investor confidence, the naira may continue to face headwinds in the near term.