The naira fell marginally on Wednesday as dollars were hard to come by at the banks.
The currency shed 0.20 percent as the dollar was quoted at N1,605.72, weaker than the N1,602.43 quoted on Tuesday at the Nigerian Autonomous Foreign Exchange Market (NAFEM), according to data from the FMDQ Securities Exchange.
The naira depreciation followed strong demand for dollars amid shortages as supply dropped by 42.08 percent at the official foreign exchange (FX) on Wednesday.
The daily FX market turnover decreased to $168.98 million on Wednesday from $291.78 million recorded on Tuesday.
At the parallel market, also known as the black market, the naira steadied at N1,620 per dollar. Some street traders sold the dollar at N1,590 and N1,610/$1 in some areas.
The naira had enjoyed four straight days of gains in the aftermath of a record hike in interest rates by the Central Bank of Nigeria (CBN) but has now declined for two straight days, fanning fears of renewed pressure on the embattled currency.
The Monetary Policy Committee (MPC) raised the MPR by 400 basis points to 22.75 from 18.75 percent last week, the biggest ever. The Cash Reserve Ratio was also raised from 32.5 percent to 45.0 per cent.
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