The Naira experienced a depreciation in the parallel market yesterday, dropping to N1,600 per dollar from the N1,590 per dollar rate recorded last weekend. Despite this decline, the Naira showed some resilience in the Nigerian Autonomous Foreign Exchange Market (NAFEM), where it appreciated slightly to N1,579.22 per dollar from the previous N1,579.89 per dollar, representing a 67 kobo gain.
According to data from FMDQ, the volume of dollars traded in the market surged by 41.4%, reaching $162.99 million, up from $115.23 million traded the previous weekend. This significant increase in trading volume contributed to the widening of the exchange rate margin between the parallel market and NAFEM. The margin expanded to N20.78 per dollar, compared to N10.11 per dollar observed last Friday.
The fluctuations in the exchange rates highlight the ongoing volatility in Nigeria’s foreign exchange markets, as the country grapples with economic challenges and currency pressures.
