The naira has continued to depreciate at the parallel market in spite of the steady rise in the nation’s foreign reserves.
The Nigerian currency lost three points at the parallel market to exchange at N510 on Wednesday after closing at N507 on Tuesday, while the Pound Sterling and the Euro exchanged at N625 and N535, respectively.
Trading at the Bureau De Change window saw the local currency close at N399 to a dollar, while the Pound Sterling and the Euro traded at N626 and N537, respectively.
At the interbank window, the Naira traded at N305.50 to the dollar. Traders at the market attributed the current onslaught on the Naira to activities of speculators and currency hoarders.
Meanwhile the President of Association of Bureau De Change of Nigeria, ABCON, Aminu Gwadabe is sending out an SOS message to his colleagues at the black market.
He appealed to them to help stabilise the embattled currency as the continued depreciation of the Naira on the black market may spoil the relationship they have with CBN.
Reuters quotes Gwadabe as saying, “The growing spikes in the parallel market to over 500/$ is becoming a major concern to the central bank … and detrimental to the cordial relationship existing between us and regulators.”