Naira Falls To N445 Per U.S Dollar In the Parallel Market Amid Forex Scarcity

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The Nigerian Naira exchanged at N445 per U.S Dollar at the parallel market amid an acute shortage of Forex on Monday.

This development is seen as a fallout of global COVID-19 restrictions which has seen a decline in international and local travel; as well as the fall in oil global prices.

See Also: FG to Fund 2020 Supplementary Budget with COVID-19 Donations

According to the president of the Association of Bureau De Change operators, Alhaji Aminu Gwadabe;

The extension of airport lockdown as well as sale of forex to the BDCs pending when air travels resume has impacted the naira negatively from N425/$ to $445/$ in the parallel market.

“However, the assurances of the CBN governor to foreign investors on ease of exit have helped to flatten the curve at N445/$ without any sign of further depreciation at the close of business today.

“The persistent dollar scarcity with shrinking liquidity in the market is one of the major unintended consequences of the shutdown of the BDCs window.”

Commercial banks have however commenced the sale of Forex to customers to pay school fees as well as SMEs following the release of $10 million worth of Forex by the Central Bank for same purpose.

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