Naira crashes to N1,625/$1 as petrol price hike worsens

The exchange rate between the naira and the dollar dropped to a six-month low of N1,625.88/$1 in the official NAFEM market on Wednesday, August 4, 2024.

This is the lowest rate since March 8, 2024, when the naira was recorded at N1,627.4/$1.

According to FMDQ data for the NAFEM window, the naira’s 0.89% depreciation from the previous day’s rate of N1,611.34/$1 highlights ongoing pressure on the currency. Trading saw a high of N1,640/$1 and a low of N1,400/$1, reflecting significant volatility in the foreign exchange market.

FX turnover for the day dropped by 1.84%, reaching $205.76 million, compared to $209.61 million the previous day.

This decline in the naira’s value comes amid rising petrol prices across Nigeria, exacerbating inflationary pressures and increasing the challenges faced by businesses and citizens.