Naira Depreciates To N902 Against Dollar, May Hit N1,000 By Month End– BDCs

The naira has extended its loss as the currency depreciated to N902 per dollar on the black market.

Figures from various Bureau de Change traders on Tuesday showed that the currency was priced between N900 and N902.

The buying price was N898 to N900 depending on the operator, THE WHISTLER reports.

In the first eight days of the month, the naira depreciated by N30 after closing at N870 against the dollar.

BDC operators attributed the drop to the shortage of the dollar in the market.

“With the way the dollar is scarce, the naira may trade close to N1,000 by the end of this month (August),” Dare, a BDC dealer in Abuja said.

At the Investors’ and Exporters’ Window, the naira sold as high as N799 before closing at N774.78.

“Demand for the dollar is very high and some of us are not able to meet up,” he added.

The Central Bank of Nigeria introduced a managed float on June 14, 2023 and since then it has been on a free fall.

The Economist Intelligence Unit (EIU) said the Central Bank of Nigeria is inexperienced in managing a floated naira.

President Bola Tinubu during his August 1 address to the nation, disclosed that his government may intervene by defending the currency “if need be”.

He said, “Our commitment is to promote the greatest good for the greatest number of our people. On this principle, we shall never falter.

“We are also monitoring the effects of the exchange rate and inflation on gasolineprices. If and when necessary, we will intervene.”

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