Nigeria CBN's Efforts Ineffective as Naira Falls to N1960 against Euro

The Nigerian Naira has reached an unprecedented low, hitting N1960 per Euro in the black market, marking a significant decline of 5.36% from the previous day. This historic depreciation comes amidst persistent demand pressures and soaring inflation, which rose to 29.90%, as reported by the National Bureau of Statistics.

Despite the Central Bank of Nigeria's efforts to stabilize the currency, the Naira also depreciated against the dollar, closing at N1,880/$1 in the parallel forex market. The Great British Pound (GBP) similarly experienced a decline to £1/N2260. Cryptocurrency markets have added to the economic turmoil, with reports of wild fluctuations in the exchange rate between the Naira and stablecoin Tether (USDT) on platforms like Binance.

The cause of this volatility remains unclear, with some attributing it to authorities' crackdown on cryptocurrency trading, seen as a factor in the Naira's rapid devaluation. The situation highlights the challenges facing Nigeria's economic landscape.