Banks sell 1 pound above N1k as naira exchange value drops against 12 foreign currencies

Nigerian currency, the Naira, continues its struggle against foreign currencies since the commencement of the Naira float regime.

You will recall that on on June 14, 2023, the Central Bank of Nigeria(CBN) instructed the banks to “sell forex freely at market-determined rates" untimately ending exchange rate regime.

This is in obedience to Tinubu's inaugural speech at the Eagle Square, Abuja on Monday, May 29, 2023, where he asked CBN TO work towards a unified exchange rate.

Naira to dollar exchange rate

The CBN latest data for Wednesday, July 19, 2023, shows that since the commencement of the naira float one month ago, the Naira has dropped massively against the US dollar, British Pound, and the Euro.

Naira also depreciated in value against other currencies such as the CFA Franc, the Chinese Yuan/Renminbi (CNY), the Swiss Franc, the South African Rand, and the UAE Riyal.

According to the CBN, on Wednesday, one US dollar was sold at N790.51, representing a massive 70.65% increase compared to the N463.38/$ it was sold for before the naira float decision.

The Naira has also lost 74.95% of its value against the British Pound sterling, with the exchange rate increasing from N582.1443/£1 on June 9, 2023, to N1,019.0464/£1 on Wednesday, July 19.

The most significant drop in value for the Naira among the three major currencies occurred with the Euro, as it lost a massive 77.33% of its value, now exchanging at N884.8969/€1 compared to the N499.47/€1 quoted by the CBN on June 9th.