The source notes that the ban on importers from accessing the Nigerian
foreign exchange markets for the importation of 41 items had led to the
volatility of the naira-dollar exchange rate at the black market.
Nigeria’s currency has fallen by 10.5 per cent from 218 to 241 against the greenback since June 23.
According to foreign exchange dealers, the artificial scarcity of the United States currency still pervaded the market.
Financial experts say the CBN need to devalue the naira to allow the
local currency achieve an equilibrium price against the dollar.
However, the CBN stated that it would not be focusing on the
thinly-traded parallel market when determining the exchange rate, adding
that people preferred to use the unofficial market for undocumented
transactions.
“Foreign investors had been on the sideline, waiting for the CBN
to devalue the naira before investing in naira-denominated assets.Local
and foreign analysts had predicted that the naira might hit 250 against
the dollar at the parallel market any time soon if the artificial
scarcity trend continued,” the source says
.
The CBN appears to be in a fix as the spread between the official and parallel market continues to widen by the day.
Reuters notes that on Monday stocks fell to a more than three-month low and the naira.
Title : BREAKING: Naira Crashes To 241 Against Dollar
Description : The source notes that the ban on importers from accessing the Nigerian foreign exchange markets for the importation of 41 items had led to...
