The Naira on Wednesday depreciated to N951.22 per dollar in the Nigerian Foreign Exchange Market (NAFEM). Data from FMDQ showed that the indicative exchange rate for NAFEM rose to N951.22 per dollar from N806.73 per dollar on Tuesday, indicating 18 percent or N144.49 depreciation for the naira. The decline represents the first time the country’s currency dropped against the US Dollar this week. The development comes as the dollar supply fell by 4.94 per cent to $135.58 million from $142.63 million. In a related development, the Naira depreciated marginally at the parallel market, exchanging at N1175/$1 on Wednesday from N1170/$1 the previous day.
Meanwhile, the lawmaker representing Yewa North/Imeko-Afon Federal Constituency at the House of Representatives, Gboyega Isiaka has called on monetary policy authorities to take decisive actions that will curb Naira depreciation.
Isiaka stressed the urgent need for a more stable foreign exchange rate to support the growth of the economy, particularly the private sector.
While reacting to the deliberations on the 2024 ‘Renewed Hope Budget’ of President Bola Ahmed Tinubu on the floor of the House of Representatives on Wednesday, Isiaka warned against speculative attacks that could undermine the Naira’s strength.
“As our fiscal ecosystem is getting settled and organized, we need a more stabilised foreign exchange rate, particularly because of the private sector.
“I urge our monetary policy managers that as we maintain the exchange rate along its fundamental path, we should also be wary of ‘Self prophesying speculative attacks’ at the naira because this is part of the factors that are believed to have contributed to what we have today as the exchange rate,” he said in Abuja.
He, however, hailed Tinubu’s administration for improving debt service, tax revenue, and deficit reduction.
