The naira hit a new record low, depreciating against the dollar at the parallel market, as it was traded at N528/$1 on Thursday, 2nd of September 2021, representing a N2 drop when compared to N526/$1 recorded on the previous trading day.
The naira fell against the dollar across the forex markets with demand pressure, despite the dollar supply of $486.31 million at the official market, representing a 570.8 percent increase in forex liquidity.
The local currency has been hitting new lows at the black market since the CBN’s decision to channel demand from the unofficial market.
It also depreciated against the US dollar to close at N411.50 to a dollar, representing a 0.1 percent loss when compared to N411.08/$1 recorded on the previous trading day at the Investors and Exporters window, where forex is traded officially.
An exchange rate of N413 to a dollar was the highest rate recorded during intra-day trading before it settled at N411.50/$1, while it sold for as low as N400/$1 during intra-day trading.
Meanwhile, Nigeria recorded a monthly gain in its external reserves in August amid news that the countey would be expecting $3.5 billion from the International Monetary fund special drawing rights.
According to data obtained from the Central Bank of Nigeria, Nigeria’s external reserves which opened the month of August at $33.48 billion hit $34.01 billion on August 31, 2021.
The change during the month represents a growth of $533.5 million or 1.59 percent boost in the country’s foreign reserve.
Managing Director, Financial Derivatives Company Limited, Mr. Bismarck Rewane in its August edition of the FDC Monthly Update, noted the $3.35billion IMF SDR allocation to increase the external reserves level to about $37billion.
