The Nigerian naira experienced a marginal dip against the U.S. dollar on Tuesday, registering an intraday high of N1186/$1 across both official and parallel markets.
This slight decline comes after a rebound on Monday, where the currency appreciated notably at the official market following a historical low last week.
Join our WhatsApp ChannelAccording to data from the Nigerian Autonomous Foreign Exchange Market (NAFEM), the naira depreciated by 0.09%, closing at N865.03 to a dollar, showcasing a 0.09% decline in comparison to its previous closure at N864.29.
The day saw a wide spread of N466/$1 between the intraday high and low rates, reflecting the currency’s fluctuating trajectory.
READ ALSO: Naira Bounces Back, Appreciates To N864/ $1 In Official Market
Market turnover at the closing bell stood at $99.09 million, marking a 25.19% decrease compared to the prior day, signaling a subdued market sentiment amid currency fluctuations.
Expressing concern over the free fall of the naira, financial experts are urging the Central Bank of Nigeria (CBN) to adopt radical measures to stabilize the currency. Dr. Biodun Adedipe, founder of B. Adedipe Associates Limited (BAA Consult), highlighted the urgency for the CBN to implement policies that de-dollarize the economy.
“CBN should take a transparent approach with participating banks in the I&E Window. The de-dollarization of the economy by prohibiting local transactions in US dollars is crucial,” emphasized Dr. Adedipe.
He further suggested that crude oil sales to local refineries should be conducted in Naira, not dollars, among other strategic measures.
Dr. Adedipe stressed the need for a direct engagement between President Bola Tinubu and bank CEOs to garner support for essential market reforms, citing unified exchange rates as an inadequate policy choice for Nigeria’s economically fragile state.
The call for urgent intervention underscores the necessity of immediate action by the CBN to stem the naira’s downward trend and restore stability to the Nigerian currency amidst volatile market conditions.
Emmanuel Ochayi is a journalist. He is a graduate of the University of Lagos, School of first choice and the nations pride. Emmanuel is keen on exploring writing angles in different areas, including Business, climate change, politics, Education, and others.
