Welcome, Guest: Register On Nairaland / LOGIN! / Trending / Recent / New
Stats: 3,217,842 members, 8,035,621 topics. Date: Monday, 23 December 2024 at 03:52 PM

Naira Faces Fresh Pressure, Falls To 222 Per Dollar - Business - Nairaland

Nairaland Forum / Nairaland / General / Business / Naira Faces Fresh Pressure, Falls To 222 Per Dollar (21881 Views)

Naira Faces Further Decline On Continued Dollar Scarcity / Unbelievable!!! Naira Falls To N485/$1, N600/£1 / Naira Falls To N370 Per Dollar (2) (3) (4)

(1) (2) (3) (4) (5) (6) (Reply) (Go Down)

Naira Faces Fresh Pressure, Falls To 222 Per Dollar by ifyan(m): 9:30am On Jun 24, 2015
The naira, which rose to 180 against the dollar shortly after the inauguration of President Muhammadu Buhari about a month ago, has fallen to 222 at the parallel market due to a huge demand for dollars by importers and investors.


Increasing business activities have made importers and investors to move their foreign exchange demands to the parallel market, putting pressure on the naira at the segment, it was learnt on Tuesday.

The dollar was sold for between 220 and 222 on the streets of Lagos, Abuja and Kano on Tuesday, while the pounds and euro were sold for 350 and 249, respectively.
ADVERTISEMENT
Analysts and foreign exchange dealers said the future of the naira looked bleak, at least at the parallel market.

The Central Bank of Nigeria has been depleting the external reserves in a bid to defend the local currency.

At the interbank forex market, where the central bank intervenes regularly to defend the currency, the naira closed at 199 against the dollar on Tuesday, data from the FMDQ OTC website showed.

The external reserves fell to $29.03bn on June 22, from $29.8bn on May 18, data from the CBN website showed.

Prior to the latest development, the foreign reserves had been stable for several weeks.
Economic and financial analysts said the latest movements in the external reserves meant that the naira was beginning to come under some fresh pressure.

Concerned about the depletion of the reserves, the CBN met with bank officials on Friday to discuss
how to mitigate the pressure on the external reserves.

The CBN has yet to make the outcome of the meeting official but sources said the central bank wanted the banks’ cooperation in order to reduce the pressure on the reserves.

The bank officials, it was learnt, told the CBN that it needed to relax its rules in the forex market and allow the naira to find its level.

The officials, however, promised to take the deliberations at the meeting to the CBN Governor, Mr. Godwin Emefiele.

It is unclear if the CBN will accede to the demand of the banks to relax the rules in the forex market, but the spokesperson for the central bank, Mr. Ibrahim Mu’azu, could not be reached immediately for comments. Calls made to his mobile telephone line were not answered.

Last November, the CBN devalued the naira after spending several billions of dollars to defend the local currency.

The Acting National President, Association of Bureau De Change Operators, Alhaji Aminu Gwadabe, told our correspondent on Tuesday that the naira’s outlook at the parallel market looked bleak, forecasting that the currency might fall to 230 against the dollar in the coming weeks if the central bank failed to deploy measures to curb the increasing dollar demand at the parallel market.

He said, “There is pressure on the naira again. Maturing import bills are making the demand for dollars to rise again. Most importers and investors are saying they could not access dollar at the official market.

“They are now turning to the parallel market, a situation that is now fuelling the demand for dollar and other foreign currencies at the parallel market.”

The Head, Research and Investment, Afrinvest West Africa Limited, a research and investment advisory firm, Mr. Ayodeji Ebo, said, “The CBN needs to do something urgently otherwise it (slide in the value of the naira) will continue.

“If the pressure continues, the CBN may devalue the naira. I think the CBN is also waiting to see the plan of the new government in order to align its monetary policies with it. Once the new government comes up with its plan, the CBN may devalue the naira. If that is done, foreign investors who have been waiting on the sidelines will come in.”

Source:http://www.nairausd.com/2015/06/naira-faces-fresh-pressure-falls-to-222.html

2 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by 1bunne4lif(m): 9:40am On Jun 24, 2015
Finally! Yes! I made it. I dedicate this ftc to all those hustling to be ftc. May God crown your efforts. On the topic? be calm baba is calling on america and other western countries even our own zimbabwe to come to our rescue

3 Likes 1 Share

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by vegetables(m): 9:42am On Jun 24, 2015
ahhhhh
Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 9:45am On Jun 24, 2015
Buhari: My fiful shud be patient It will still rise to 1naira

Me: STFU Daura President

75 Likes 6 Shares

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by ifyan(m): 9:46am On Jun 24, 2015
ECOTERRORS:
My fiful shud be patient It will still rise to 1n,aira

Pray for the nation.

4 Likes 2 Shares

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 9:58am On Jun 24, 2015
ifyan:


Pray for the nation.
why should I pray when pMB has a pastor as his commissioner sorry VP

107 Likes 9 Shares

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 9:58am On Jun 24, 2015
No difference in the last and the current Government yet, shey na like this we go dey dey??

4 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 9:59am On Jun 24, 2015
ifyan:


Pray for the nation.
why should I pray when pMB has a pastor as his commissioner sorry VP.

16 Likes 4 Shares

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Ezenwammadu(m): 9:59am On Jun 24, 2015

90 Likes 8 Shares

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by ifyan(m): 10:01am On Jun 24, 2015
ECOTERRORS:
why should I pray when pMB has a pastor as his commissioner sorry VP.

Understand that you are of this Nation

3 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by ifyan(m): 10:02am On Jun 24, 2015
Ezenwammadu:
When will babaonechance make it N1=$1

Are you dreaming
Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 10:02am On Jun 24, 2015
Nigeria is going down under Buhari. Where is the change Mr. President?

31 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 10:03am On Jun 24, 2015
ECOTERRORS:
Buhari: My fiful shud be patient It will still rise to 1naira

Me: STFU Daura President
Baba is still learning on the job! Let's give the trainee president time to learn grin grin

28 Likes 1 Share

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 10:05am On Jun 24, 2015
Hope our beloved naira doesn't go the way of Zimbabwe Trillion dollars

Buhari abeg oooo! I no want carry Ghana must go to buy my "Agege Bread"

16 Likes 1 Share

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 10:07am On Jun 24, 2015
barcanista:
Baba is still learning on the job! Let's give the trainee president time to learn grin grin
imagine a trainee manager @ the helm of a blue chip coy?

18 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by 1bunne4lif(m): 10:07am On Jun 24, 2015
barcanista:
Baba is still learning on the job! Let's give the trainee president time to learn grin grin
What has he been doing for the past 12 years?

2 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by ERODEDEAST(f): 10:07am On Jun 24, 2015
Is the "Katsina Illiterate" still in the country or he's gone back to West Germany Permanently.

48 Likes 2 Shares

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 10:10am On Jun 24, 2015
ifyan:


Understand that you are of this Nation
Singing Jim reeves * this world is not my own, I'm just passing through

23 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 10:14am On Jun 24, 2015
ECOTERRORS:
imagine a trainee manager @ the helm of a blue chip coy?
My Darling, we don't have a choice o. We brought it upon ourselves so we have to endure it. Sai Bubu grin

28 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 10:15am On Jun 24, 2015
1bunne4lif:
What has he been doing for the past 12 years?
He has been soaking the dogs and baboon in blood angry lipsrsealed

35 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by kay1one2(m): 10:16am On Jun 24, 2015
barcanista:
Nigeria is going down under Buhari. Where is the change Mr. President?

Nigeria will not go down IJN!

15 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by ifyan(m): 10:16am On Jun 24, 2015
kay1one2:


Nigeria will not go down IJN!

Big Amen.

15 Likes 1 Share

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 10:22am On Jun 24, 2015
Chosen1984:
Hope our beloved naira doesn't go the way of Zimbabwe Trillion dollars

Buhari abeg oooo! I no want carry Ghana must go to buy my "Agege Bread"

lol

4 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by 1bunne4lif(m): 10:23am On Jun 24, 2015
barcanista:
He has been soaking the dogs and baboon in blood angry lipsrsealed
May be he has been busy begging the west to come to his rescue. Why would someone accept the responsibility what he clearly knows he cannot do. Grandpa is confused

11 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 10:27am On Jun 24, 2015
The $2 billion that they would have added to the federal Reserve to increase Naira worth, instead they shared it yesterday pushing the Naira to greater free fall.

17 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by ifyan(m): 10:37am On Jun 24, 2015
new2020:
The $2 billion that they would have added to the federal Reserve to increase Naira worth, instead they shared it yesterday pushing the Naira to greater free fall.

‘Nigeria’s Forex Reserves Too Low To Defend The Naira’

http://www.nairausd.com/2015/06/nigerias-forex-reserves-too-low-to.html

1 Like

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by LAfricana(m): 10:40am On Jun 24, 2015
right b4 my eyes , my savings is depreciating like fvck

Job no dey, and small money i dey use they hold body, Nigeria would still stripe me of em angry

Ha, ogunlaka aye, all this ppl running anyhow Nigeria must not go scot free o embarassed angry






Check out www.africanwatch.net for lastest international Scholarships for Nigerians, and keep tabs with latest happenings in Africa

2 Likes

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by Nobody: 10:40am On Jun 24, 2015
It's only going to get worse except Mr.Buhari turns off this slow mode undecided
Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by UnknownT: 10:41am On Jun 24, 2015
Naira dey remind me how my CGPA take crash for 3rd year embarassed To rise, e dey rise by 0.001

34 Likes 1 Share

Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by RaDaZaBaNa(m): 10:41am On Jun 24, 2015
must fall to 1 naira per 1 dollar o
Re: Naira Faces Fresh Pressure, Falls To 222 Per Dollar by successking401(m): 10:41am On Jun 24, 2015
Check my signature if you have problem satisfying ur wife in bed.zero seven zero three nine siX four zero zero nine seven

(1) (2) (3) (4) (5) (6) (Reply)

Julius Berger Set To Launch Cashew Processing Plant In Lagos / CBN To Introduce Lower Denominations On Atms / I Want To Start Importation Of Spare Parts Pls Help

(Go Up)

Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health
religion celebs tv-movies music-radio literature webmasters programming techmarket

Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

Nairaland - Copyright © 2005 - 2024 Oluwaseun Osewa. All rights reserved. See How To Advertise. 27
Disclaimer: Every Nairaland member is solely responsible for anything that he/she posts or uploads on Nairaland.