Naira Weakens Further as CBN Holds Interest Rate

The Nigerian naira continued its downward trend against the US dollar on Tuesday, following the Central Bank of Nigeria’s decision to maintain the benchmark interest rate at 27.50 percent. According to official data from the CBN, the naira fell to N1,535.24 per dollar, compared to N1,532.54 the previous day — a daily loss of N2.70.

In the parallel market, the currency held steady at N1,540 per dollar, the same rate recorded on Monday. This marks the second depreciation in the official market this week, underscoring continued pressure on the naira despite policy efforts.

Following the 301st meeting of the Monetary Policy Committee, CBN Governor Olayemi Cardoso stated that public confidence in the naira is improving. However, the currency’s continued weakness raises fresh concerns about the effectiveness of the current monetary stance in stabilizing the exchange rate.