BREAKING: Dollar crashes against naira at parallel exchange market

On Thursday, a significant depreciation of the dollar was observed in the parallel exchange market, with its value ranging between N860 and N7870. The decline had a gradual onset, commencing at N890 and reaching N910 during the morning trading session. This decline was triggered by news circulating among Bureau De Change (BDC) operators regarding a potential intervention by the Central Bank of Nigeria (CBN).

The CBN had previously revealed its intention to implement decisive measures aimed at reversing the devaluation of the naira in the coming days, causing substantial losses for speculators in the process. Acting CBN governor, Folashodun Shonubi, had hinted at these forthcoming actions during a briefing with State House reporters on Monday, following a meeting with President Bola Ahmed Tinubu at the Presidential Villa in Abuja.

Investigations conducted by our reporters in locations such as Allen Avenue and Bagada in Lagos indicate that BDCs are currently buying at N900 and selling at N910 per dollar, a notable shift from the earlier high of N970 recorded earlier in the day.

Across the Wapa forex market in Kano, BDCs are purchasing at N875 and selling at N905 for each dollar exchanged. Meanwhile, a closer examination of the Zone 4 BDCs market in Abuja highlights the surprise faced by money speculators in the area due to these developments.

However, in the Investors and Exporters window, the dollar’s trajectory followed a different pattern. Opening at N789/$, it reached a peak of N799/$ and a nadir of N740/$, ultimately closing at N774/$. This closing rate was N10 higher compared to the previous day’s closing value of N764/$.