Naira Depreciates Across Markets as FX Turnover Drops 42.5%
By Aboki Forex —
The naira weakened against the US dollar on Friday, falling to N1,397 in the parallel market from N1,390 on Thursday. This represents a N7 loss for the local currency in the unofficial segment.
In the official Nigerian Foreign Exchange Market (NFEM), the naira also depreciated. Data from the Central Bank of Nigeria (CBN) showed the indicative exchange rate rose to N1,365 per dollar from N1,359.75 on Thursday. This marks a N5.25 depreciation for the naira.
As a result, the spread between the parallel and official markets widened to N32 per dollar, up from N30.25 per dollar the previous day.
Turnover in the interbank foreign exchange market recorded its fourth consecutive daily decline. It fell by 42.5 per cent to $73.6 million, down from $128.2 million on Thursday.
Weekly Performance Mixed
Over the week, the naira gained N1 per dollar in the official market. Total turnover in the interbank market climbed to N683.2 million, a 76.7 per cent increase compared to N386.54 million recorded the previous week.
However, the local currency weakened by N2 against the dollar in the parallel market over the same period.