The naira has continued its downward spiral, falling to N860 per dollar at the parallel market on Wednesday.
The figure represents a N35 or 4.2 percent depreciation compared to the N825 it traded yesterday.
With the depreciation, the gap between the official and parallel market exchange rates is widening once again.
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The naira has consistently experienced fluctuations since the government unified the exchange rate windows.
At the investors and exporters (I&E) window, the local currency appreciated by 6.58 percent against the dollar to close at N742.9 on Tuesday, according to FMDQ OTC Securities Exchange — platform that oversees foreign-exchange trading in Nigeria.
Bureaux De Change (BDC) operators in Lagos and Ogun who spoke to TheCable on Wednesday said there is high demand for foreign currency in the parallel/street market.
The street traders, popularly known as ‘abokis’ put the buying price of the dollar at N840 and the selling price at N860, leaving a profit margin of N20.
When asked the reason for the decline of the naira against the dollar, Abubakar, a BDC operator in the Agbara area of Ogun state, said there has been increased demand for dollars amid a supply shortage in the market.
“Dollar is scarce now in the market. How much do you need? I can find it for you,” he told TheCable.
(Cable)
