The naira depreciated against the US dollar in the foreign exchange market, despite continued intervention sales by the Central Bank of Nigeria (CBN). Recent spot data showed that the local currency weakened by ₦5.23, closing at ₦1,537.62 per US dollar in the official market, as total FX interventions for the month exceeded $1 billion.
The CBN increased dollar sales to authorised dealer banks in March in an attempt to stop the naira’s depreciation in the face of growing demand for foreign exchange. According to TrustBanc Financial Group Limited, the central bank sold $29.70 million in its most recent round, continuing its intervention approach.
The USD/NGN pair fluctuated between N1,528.00 and N1,541.00 on Wednesday before settling at N1,537.62 on the forex market.
