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Naira Tumbles To 371 As Dollar Scarcity Persists - Business - Nairaland

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Naira Extends Gains As Dollar Glut Hits Market / Naira Tumbles To 360 As Dollar Supply Dries Up / Naira Tumbles To 391/dollar (2) (3) (4)

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Naira Tumbles To 371 As Dollar Scarcity Persists by Adesiji77: 8:50am On Jun 09, 2016
The continuing pressure on the naira rose sharply on Wednesday with the local currency tumbling to a new low of 371 against the United States dollar at the parallel market. It had closed at 361 per dollar on Tuesday.

The delay by the Central Bank of Nigeria in explaining how the proposed flexible exchange policy will work has increased speculation on the currency.

Foreign exchange dealers and investors said the delay had caused uncertainty in the foreign exchange market and fuelled hoarding of hard currencies.

According to foreign exchange dealers at black markets in Lagos, Abuja and major airports across the country, the dollar was sold for between 367 and 373 on Wednesday.

Findings from various operators revealed that the local currency went for 371 against the greenback in most of the parallel market locations.

Abokifx.com, an online portal that monitors the movement of exchange rates at the parallel market, reported that the naira closed at 367 against the dollar.

However, the currency traded at 199.40 to the dollar on the official interbank market, within the CBN’s pegged rate band.

“Demand for the greenback has increased amidst growing scarcity as uncertainties created by the new policy have caused individuals to start to stock dollars,” the National President, Association of Bureau De Change Operators, Alhaji Aminu Gwadabe, told Reuters on Wednesday.

Economic analysts said heightened political risks, evolving economic crisis and the CBN’s delay in unveiling its blueprint on the proposed forex policy were responsible for the fast depreciating rate of the naira at the parallel market.

An economic analyst and Chief Executive Officer of Cowry Asset Management Limited, Mr. Johnson Chukwu, said, “Foreign investors are fast losing confidence in the economy, seeing that they cannot bank on what the central bank says. It is almost two weeks now since the announcement of a new policy and yet, the blueprint has not been unveiled.

“Secondly, the Minister of State for Petroleum Resources, Dr. Ibe Kachikwu, just said that oil production had fallen significantly as a result of the disruption in the Niger Delta; this means a major drop in our forex earnings. So, this is an evolving economic crisis.”

Other analysts said the value of the local currency was dipping because customers were trying to hedge against a possible depreciation when the CBN clarifies its new forex policy.

The naira had closed at 357 against the greenback on Monday, before crashing to 361 on Tuesday.

The CBN had recently said it would abandon its naira peg to the dollar and introduce a flexible currency exchange regime.

It has not said how this will work, a situation that has unsettled investors who are worried about getting caught in the middle of a devaluation.

The CBN’s Monetary Policy Committee had two weeks ago announced the plan to adopt a flexible exchange rate. The Governor, CBN, Mr. Godwin Emefiele, said the blueprint for the proposed policy would be released soon.

The delay has, however, caused the stock market to record huge losses after recording landmark gains following the announcement of the plan to adopt the policy.

The central bank banned dollar sales to retail Bureaux De Change in January and reduced supply at its official interbank forex market in an effort to conserve reserves, now at their lowest level.

http://www.punchng.com/naira-tumbles-371-dollar-scarcity-persists/
Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Lovelynature(m): 9:04am On Jun 09, 2016
Nawao


Seems Nigerians are no longer moved by this naira and dollar game

7 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Thewrath(m): 9:11am On Jun 09, 2016
*faints*. If only the deaf could hear

29 Likes 1 Share

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by EnterPRO: 9:15am On Jun 09, 2016
this is no longer palatable.
it was bearable before but its no longer funny.
na so we go dey look till it touches N500/$

17 Likes 1 Share

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Armstrong34(m): 9:16am On Jun 09, 2016
sombori say sai babagrin

85 Likes 5 Shares

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by dayus444: 9:35am On Jun 09, 2016
Hmmm.... Which way Nigeria?

1 Like

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by rozayx5(m): 9:43am On Jun 09, 2016
lalasticlala

1 Like 1 Share

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by 989900: 11:18am On Jun 09, 2016
The delay by the Central Bank of Nigeria in explaining how the proposed flexible exchange policy will work has increased speculation on the currency.

Foreign exchange dealers and investors said the delay had caused uncertainty in the foreign exchange market and fuelled hoarding of hard currencies.

Speed is not this admin's forte.

8 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Mctimothylota(m): 11:51am On Jun 09, 2016
Buhari ear crash, naira crash, Nigeria crash, abeg na waiting wan crash again??

17 Likes 1 Share

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by emmabest2000(m): 11:51am On Jun 09, 2016
Lovelynature:
Nawao


Seems Nigerians are no longer moved by this naira and dollar game



Nigerians are tired of Naira Dollar Tantric Love ...

Who cares.

2 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Ijaya123: 11:53am On Jun 09, 2016
CBN seem confused. New thinking needed ASAP

8 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Nobody: 11:53am On Jun 09, 2016
We are finished!!!! the multiplier effect of change............................

13 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by phnibeogu: 11:53am On Jun 09, 2016
bubu!!!! hope you can hear this soon as you fix 'em ears !!!!!

23 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by drnairalov: 11:53am On Jun 09, 2016
sad sad sad with the way it is going.i doubt it coming down soon.Barefaced poverty is walking the streets of Nigeria now

16 Likes 1 Share

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by ammyluv2002(f): 11:54am On Jun 09, 2016
Lovelynature:
Nawao


Seems Nigerians are no longer moved by this naira and dollar game

Do you actually blame us? Wetin man go do?
Re: Naira Tumbles To 371 As Dollar Scarcity Persists by chiedu7: 11:54am On Jun 09, 2016

8 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Nobody: 11:56am On Jun 09, 2016
Am just watching this administrations in 3D full scale HD!

On a serious note, buhari should just resign!!
In my entire life have never read of a government as clueless as this Muhammadu Buhari led government.

29 Likes 3 Shares

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by dadebayo1(m): 11:56am On Jun 09, 2016
Change is change...technically.

36 Likes 3 Shares

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by miteolu(m): 11:56am On Jun 09, 2016
I was here

14 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by agborodun: 11:57am On Jun 09, 2016
Na wah o
Re: Naira Tumbles To 371 As Dollar Scarcity Persists by johnstar(m): 11:57am On Jun 09, 2016
grin grin
Re: Naira Tumbles To 371 As Dollar Scarcity Persists by ajebuter(f): 11:59am On Jun 09, 2016
Where is Ngenekunu?!

We need his/her 'expert analysis' of the economic trend associated with this..


Seriously, where is Ngene

10 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Project400: 11:59am On Jun 09, 2016
It is well!!!

2 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by chuose: 12:01pm On Jun 09, 2016




[size=13pt]Come oh, where is Lie Lai Mohammed sef?
He has been silas for a while, abi no more lies?
[/size]

19 Likes 1 Share

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Exxkay(m): 12:03pm On Jun 09, 2016
I have PayPal funds for sale

Call/message /Whatsapp 08027709006
Re: Naira Tumbles To 371 As Dollar Scarcity Persists by MRXELA(m): 12:03pm On Jun 09, 2016
chain

42 Likes 2 Shares

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by dotG(m): 12:05pm On Jun 09, 2016
EnterPRO:
this is no longer palatable.
it was bearable before but its no longer funny.
na so we go dey look till it touches N500/$
might reach #1,500 sef

8 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by jordinsparkles(f): 12:05pm On Jun 09, 2016
Lord have mercy.
Re: Naira Tumbles To 371 As Dollar Scarcity Persists by jordinsparkles(f): 12:06pm On Jun 09, 2016
The hapless conundrum which has bedeviled virtually every facet of our nation's economy is more accentuated by this unfortunate anomalous and crass policies. And that's a fact.

2 Likes

Re: Naira Tumbles To 371 As Dollar Scarcity Persists by sorom4: 12:06pm On Jun 09, 2016
Hmmmm
Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Aniwhyte(m): 12:06pm On Jun 09, 2016
Ewoooooo... Chima
Re: Naira Tumbles To 371 As Dollar Scarcity Persists by Nobody: 12:09pm On Jun 09, 2016
dadebayo1:
Change is change...technically.
Is indeed change, it moved frm 199 to 371 now. grin

11 Likes

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