Therapy for Nigeria’s Troubled Currency – Thisday

Nigeria’s perennial exchange rate crisis can only be resolved when the country seriously adopts export promotion strategies and genuinely implement economic diversification policies, writes Obinna Chima

The depreciation of the naira against the US dollar in the past few days has sent shock waves across the financial market. While the development has been attributed to the scarcity of the greenback, it also presages further troubles for the growth of the Nigeria economy.

On the interbank market, the naira closed last Friday at N307.98/$1. Also, parallel market rate waned throughout the week, down by 3.6 per cent week-on-week from N365/$1 the preceding Friday to N378/$1 by the end of the week. The naira equally depreciated at the Bureaux De Change market to N365/$1 as unmet dollar demand continued to spill into the alternative market segments.