As speculated recently, the Nigerian naira on Monday, January 30 hit its all-time low against the United States dollar now at N500 at the parallel market.

This is the first time in the history of the country that the naira would get that low against the foreign currency. Last week, the local currency traded for N495 to the dollar on the black market as against N485 per dollar the week before due to the shortage of dollar.

At the interbank window at the same period, the dollar went for N310.5.

The CBN is yet to react to the fall, but a trader was earlier quoted as saying: “There is an acute shortage of dollars in the market because of supply being slashed by half to Bureau de Change operators from international money transfer agents, pushing the naira down.”

The naira dropped against the United States dollar from 498 to 500 at the parallel market during the early trading hours on Monday.

The currency thus crossed the critical threshold analysts had predicted.

At the official market, the local unit closed at 305/dollar, the level it has traded at since August last year.

The CBN had two weeks ago commenced sales of dollars to the BDC operators through Travelex, following a three-week break during the Christmas and New Year celebrations.

On Friday, the naira closed at 498/dollar at the black market, broadly unchanged from 497/dollar it recorded the previous weekend.

“Confidence is gradually returning to the forex market as a result of improved foreign exchange reserves, dollar sales by international money transfer agents and the central bank assurance it will continue to support the local currency,” one trader told Reuters.

Last Tuesday, the CBN said it would continue to provide hard currency, with priority given to manufacturing industries that need to import raw materials and spare parts.

Economic and financial analysts are slightly divided over the outlook for the naira this year.

http://dailypost.ng/2017/01/31/naira-hits-n500-per-dollar/

Can you just imagine our naira has no more value..... WTF.... FTC

heading to 1000 to $1...

mecussey:
heading to 1000 to $1...

Understatement

Today it stabilized to N498 to 1$