Naira hits N1,000 per dollar

The naira yesterday depreciated to N1,000 to dollar at the parallel market. The sustained scarcity of the dollar at both official and parallel markets and the activities of forex speculators were to blame.
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The rate was N5 weaker than N995 to the dollar it closed on Monday.

The local currency however made a marginal recovery at the official market- the Investors and Exporters (I&E) window. It traded at N755.08 to the dollar compared with N773.25 to the dollar it closed on Monday.

A report from FMDQ Exchange showed there was a $135.98 million turnover on Tuesday, an improvement from the $65 million it recorded on Monday.

Former Registrar, the Chartered Institute of Bankers of Nigeria (CIBN), Dr. Uju Ogubunka, said Nigeria’s trade balance has been weakened by its inability to produce and earn forex.

To firm up the naira, he said Nigeria must find new ways to boost production to earn more dollars and boost foreign reserves. Ogubunka, who is also the President of the Bank Customers Association of Nigeria, said that aside from boosting production, there is a need to tackle insecurity to allow farmers go to their farms.

He said such an effort will help increase crop yields and bring more dollar earnings for the economy that will, firm up the local currency.

According to him, insecurity and political uncertainty are delaying several corporate investment decisions that would have brought in more dollars to the economy.

President, Association of Bureaux De Change Operators of Nigeria (ABCON), Dr. Aminu Gwadabe, said there was need to encourage market participants to source forex from independent windows to boost liquidity.

He called for enabling environment and fair treatment for all the players to achieve exchange rate stability.

He advised the Federal Government should enhance financial intelligence by tracking people with proceeds of corruption to sanitize the market.

President, Association of Bureaux De Change Operators of Nigeria (ABCON), Dr. Aminu Gwadabe, said there was need to encourage market participants to source forex from independent windows to boost liquidity.

He called for enabling environment and fair treatment for all the players to achieve exchange rate stability.

He advised the Federal Government should enhance financial intelligence by tracking people with proceeds of corruption to sanitize the market.