Nigeria’s naira has experienced a reversal in its recent gains, emerging as the world’s worst-performing currency over the last month, according to a new Bloomberg report.
The Friday report emphasised that this development places increased pressure on the Central Bank of Nigeria to continue raising interest rates.
The naira has depreciated to 1,466.31 against the dollar, marking its weakest level since March 20.
This decline is attributed to the local scarcity of the US currency, with only $84 million available on Thursday, half of the previous day’s supply.
CBN governor, Yemi Cardoso, had previously hailed the naira as the best-performing currency globally as of April 2024.
The naira faced challenges in March, plummeting to as low as N1,600/$1 on the official market and N1800/$1 on the parallel market.
Cardoso attributed this achievement to a series of foreign exchange market reforms and positive sentiment from leading international investment institutions.
The Punch
