No Result

View All Result

No Result

View All Result

No Result

View All Result

Home Currencies

Naira Falls to Record Low In Parallel Market as Dollar Supply Drops Significantly By 62%

by Rate Captain

August 31, 2021

in Currencies, Economics, News

Reading Time: 2 mins read

AlsoRead

Strong Investor Demand Fuels Oversubscribed Treasury Bills Auction as CBN Allots N1.01 Trillion

CBN Pulls N13.41 Trillion Out of Banking System in January 2026 as Tightening Bites

Naira Rebounds Month-on-Month in February as Reserves Hit 13-Year High.

 The exchange rate between the naira and the US dollar closed at N411.63/$1 at the Investors and Exporters window, where forex is traded officially.

Naira appreciated against the US dollar to close at N411.63/$1 on Monday, representing a 37kobo gain when compared to N412/$1 recorded at the close of trading on Friday, 27th August 2021.

However, the naira further depreciated at the parallel market as it closed at N527/$1 on Monday, 30th August 2021, representing a N3 drop when compared to N524/$1 recorded on the previous trading day.

The naira slumped to a new record low against the dollar at the black market on Monday days after the CBN banned microfinance banks from foreign exchange transactions as dollar supply drops significantly by 62%.

According to Reuters, the stoppage of forex allocation to BDC operators by the CBN has drained liquidity in the black market and could further weaken the naira.

The naira appreciated against the US dollar on Monday 30th August 2021 to close at N411.63 to a dollar, representing a 0.27% depreciation compared to N412/$1 recorded in the previous trading day.

The opening indicative rate closed at N411.93/$1 on Monday, August 30, as against N411.80/$1 recorded on Friday, representing a 13 kobo depreciation.

An exchange rate of N415.20 to a dollar was the highest rate recorded during intra-day trading before it settled at N411.63/$1, while it sold for as low as N400/$1 during intra-day trading.

Meanwhile, forex turnover at the Investors and Exporters (I&E) window dropped by 62.2% on Monday, 30th August 2021.

According to data from FMDQ, forex turnover declined from $216.52 million recorded on Friday to $81.81 million on Monday, 30th August 2021.

Facebook, Xiaomi Eye India’s $1 Trillion Digital Loan Market

China Threatens to Ban E-Commerce Companies That Flout IP Laws

Related News

NEC Affirms CBN $3 Billion Loan for Naira Stability

Strong Investor Demand Fuels Oversubscribed Treasury Bills Auction as CBN Allots N1.01 Trillion

by Stephen Akudike

The Central Bank of Nigeria (CBN) saw robust appetite for government securities in its latest Treasury Bills Primary Market Auction...

Naira Faces Fresh Challenges as It Surpasses N1,160 Against Dollar

CBN Pulls N13.41 Trillion Out of Banking System in January 2026 as Tightening Bites

by Stephen Akudike

In a clear sign of aggressive monetary tightening to start the year, Nigeria's Central Bank (CBN) drained a massive N13.41...

Dollar Index Loses Steam as Treasury Yields Drift Back to 4.8%

Naira Rebounds Month-on-Month in February as Reserves Hit 13-Year High.

by Stephen Akudike

Naira staged a notable comeback in February 2026, strengthening by approximately 4.13% against the US dollar despite efforts by the...

Naira appreciated to N738/$ in the Parallel Market

Naira Strengthens 4.31% in February Despite Late-Month CBN Intervention

by Stephen Akudike

Nigeria's naira posted a robust 4.31% appreciation against the US dollar in February 2026, defying Central Bank of Nigeria (CBN)...

Next Post

China Threatens to Ban E-Commerce Companies That Flout IP Laws

Leave a Reply Cancel reply

No Result

View All Result

Copyright © 2022 RateCaptain - All rights reserved by RateCaptain.

?>