Despite a notable 60% surge in the volume of dollars traded in the foreign exchange market the previous day, the pressure on the dollar continued, reports Daily Trust.
Data from the Nigerian Autonomous Foreign Exchange Market (NAFEM) reveals a 61.86% increase in forex turnover to reach $198.21 million. However, this substantial rise did not alleviate the pressure on the dollar, with the currency further depreciating against the naira in both official and unofficial markets.
As per NAFEM, the dollar closed at N956.33 compared to N817 the previous day, indicating a N139 increase within 24 hours. Meanwhile, the black-market rate depreciated slightly, opening at N1,140 and closing between N1,150 to N1,160.
Babatunde Adeniji, an aviation management consultant, attributes the naira crisis to speculation driven by the country’s liquidity challenge. He emphasizes the need for visible actions to build trust, such as paying off foreign exchange forwards backlog and ensuring sufficient liquidity for pending obligations.
Olabode Afolayan, a chartered accountant and financial expert, urges citizens to reduce their reliance on foreign-made goods and advocates for de-dollarizing the economy. Additionally, he calls for government intervention against individuals hoarding dollars to support efforts in making the naira appreciate.
The experts highlight the importance of addressing economic expectations, emphasizing the need for clear actions and visible solutions to stabilize the currency and restore confidence in the market.
