Naira in Pathetic Fall at the Black Market...See Current Value

Posted by George on Fri 28th Oct, 2016 - tori.ng

The CBN has been alarmed by the free fall of the naira in the parallel market which has caused an emergency meeting.

 
The naira yesterday depreciated further to N466 per dollar in the parallel market prompting the Central Bank of Nigeria (CBN) to meet with Bureau De Change (BDC) operators and Travelex to evolve measures to halt the persistent slide of the currency.

Vanguard investigations revealed that the parallel market exchange rate rose yesterday from N460 per dollar on Wednesday to close at N466 per dollar. Hence the naira depreciated by N11 against the dollar this week, up from N455 per dollar at the close of business last week.

BDC sources told Vanguard that the persistent depreciation of the naira ths week was due to a host of factors chief of which was the supply of dollars from Travelex, which has been limited to BDCs in Lagos. Also, the weekly dollar sale of $15,000 by Travelex to each BDC was delayed yesterday aggravating the naira depreciation.

Confirming this development, Chief Executive Officer, H.J Trust BDC said, “The dollar went up today (yesterday) because Travelex is yet to sell to BDCs. But we believe they would do so before the end of today. If that happens, the exchange rate will drop by tomorrow morning (today)."

Meanwhile, it was gathered that the CBN on Wednesday met with Travelex and Association of Bureaux De Change Operators of Nigeria (ABCON), to evolve measures to enhance supply of dollars and halt the depreciation of the naira.
 
According to Zenith Bank Plc, the naira fell to N470 to $1 in the black market.
 
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