The naira on Wednesday lost 1.04 percent of its value on the parallel market as the foreign exchange (FX) awaits the retail dollar sales through Dutch auction system by the Central Bank of Nigeria (CBN) today.
The local currency traded at N1,620 per dollar on Wednesday compared to N1,603/$1 traded on Tuesday at the parallel market also known as the black market.
Traders said on Wednesday that there was strong demand from individuals who want to travel abroad for the summer holidays.
Read also: CBN steps in to save naira with retail dollar auction
The apex bank planned to sell dollars in a retail auction this week. The action is aimed at easing the mounting pressure on the local currency and stabilising the foreign exchange market.
At the Nigerian Autonomous Foreign Exchange Market (NAFEM) the naira gained 0.38 percent as the dollar closed at N1,601 on Tuesday from N1,607.15 closed on Monday, data from the FMDQ Securities Exchange Limited showed.
The dollar supplied by the willing sellers and willing buyers declined to $61.90 million, lowest since January.
