As a result of a crackdown in the parallel market, currency traders and the persistent scarcity of the greenback, naira is further weakening against the United States dollar, Reuters has reported.
The local currency fell 2.08 per cent week-on-week on Thursday to 480 to the dollar on the parallel market against 470 a dollar last week, while it was quoted by commercial lenders at 314.80 a dollar on the interbank market. According to the reports, the foreign exchange demand by small businesses was set to surge ahead of holiday season sales. The naira has, however, consistently closed around 305.5 a dollar level since August via the official window. “The consistent clampdown on black market operators by security agents has driven some currency retailers underground, putting more pressure on available hard currency,” one dealer said.