Site icon NewsVeo

Naira depreciates amid increased Dollar demand

The Nigerian Naira witnessed a notable depreciation yesterday, driven by heightened demand for dollars among importers and individuals traveling for tourism, health, and other purposes.

The local currency faced sharp declines in both the parallel and official markets.

In the parallel market, the Naira fell from ₦1,585 per dollar on Tuesday to ₦1,600 per dollar.

Similarly, in the official market, the currency depreciated from ₦1,525 per dollar on Tuesday to ₦1,545 per dollar.

Economic analysts attribute this depreciation to several factors, including increased dollar demand and speculative activities. The situation raises concerns about the potential impact on inflation and the overall economy.

The government and financial authorities are under pressure to implement measures to stabilize the Naira and prevent further depreciation.

As the currency continues to weaken, the populace faces higher costs for imported goods and services, affecting the overall cost of living.

Get instant and latest news updates via Our WhatsApp CommunityX/Twitter or Google News online channel.

Exit mobile version