For the third time in less than a week, the Central Bank of Nigeria’s (CBN) has again adjusted the value of the naira further down. Data on the apex bank’s website yesterday, shows that the local currency has been adjusted to N413.96 per dollar from N413.67 per dollar and N413.49/$1 on Tuesday and last Friday respectively. However, the naira gained marginally against the dollar on the Investors and Exporters’ (I&E) window yesterday, according to data from the FMDQ Security Exchange, as it closed at N416. 25 per dollar compared with N417.25/$1 earlier in the day.
Speculation is rife in financial circles that the naira’s weakening on the official forex window suggests that the CBN might be gearing up to weaken the local currency. Analysts note that the country’s external reserves have been heading south in recent weeks. For instance, the reserves, which, as at November 30, stood at $41.19billion, had dropped to $40.52billion as at January 5 2022.