BREAKING: Naira crashes to N1,600 per $1

The Nigerian naira has depreciated to N1,600 against the US dollar, according to reports from the Peoples Gazette. This decline comes amidst ongoing economic challenges facing Nigeria under President Bola Tinubu’s administration.

Aboki Forex reported the naira’s plunge to N1,600 per dollar, despite efforts by the Central Bank of Nigeria to stabilize the currency’s value. The downward trend of the naira against the dollar has been exacerbated since the currency was floated.

Previously, in September, the naira hit a historic low of N1,000 per dollar in the parallel market, highlighting the difficulties in managing the national currency amid soaring inflation during Mr. Tinubu’s tenure. The decision to float the currency also drew criticism, with the Association of Nigerian Licensed Customs Agents (ANLCA) citing a decline in vehicle importation at the nation’s ports as a consequence.

Recent data from Naira Rates indicates that the naira fell to N1,520.123 to a dollar on January 31, compared to N1,482.75 per dollar recorded in the official foreign exchange market on January 30, marking a significant depreciation within a short timeframe.

This recent fall has led to a reversal of the exchange rate dynamics, with the official exchange rate surpassing the parallel market rate for the first time since the COVID-19 pandemic. The parallel market exchange rate stood at N1,470 per dollar on January 29, up from N1,425 the previous day.

The monetary policies implemented by President Tinubu’s administration, including the decision to float the currency, have played a substantial role in exacerbating the downward slide of the naira, contributing to the current economic challenges facing Nigeria.