Naira falls to average of N1,084/$ on increased demand

Naira on Wednesday fell to an average rate of N1,084 per dollar, the lowest ever rate at the parallel market, following increased demand by end users.

This represents 2.26 percent depreciation over N1,060 sold during the morning trading session on Wednesday.

Some street traders sold one dollar at the rate of N1,100, some N1,095 but abokifx quoted dollar at N1,075. One of the traders said on Wednesday that individuals who want to travel for business, school, health and tourism are buying dollars from the street traders because they could not meet their demands from the official market.

Read also: Naira falls to lowest of N1,050/$ on black market

The exchange rate gap between the official and parallel market segments of the foreign exchange (FX) market has widened by over 100 percent as naira depreciated across markets on Tuesday and Wednesday.

Dollar was quoted at N848.12 at the Investors’ and Exporters’ (I&E) forex window. During the FX auction on Tuesday, willing buyers and willing sellers offered the highest bid of N981/$1 and lower bid of N700/$1, data from the FMDQ indicated.

Read also: Exchange rate gap widens as naira falls to N1,060/$

The daily foreign exchange market turnover increased by 211.62 percent to $134.28 million from $43.09 million recorded on Monday.

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