Naira Hits All-Time Low Of 334.50 Per Dollar At Interbank Market

Nigeria naira weakened to an
all-time low of 334.50 against
the dollar on the interbank
market on Wednesday, a day
after the central bank hiked
interest rates to try to lure foreign investors back into local
assets, traders said.
The naira fell 5.8 percent on
Wednesday from its opening
rate, and $10 million was traded
at the new record low. Traders said investors were
pushing the currency lower to
test the limit of how far it can fall,
given a spread of almost 12
percent between the official and
black market naira rates. “If we have more people trying
to buy the naira then it should
strengthen. I think we will keep
seeing the trickles … I don’t
think we will see large inflows
until the fundamentals of the economy improves,” one trader
said.