Exchange Rates

BREAKING: Exchange Rate Crashes To Record Low Of N1,680/£1

Advertisement
Advertisement

Exchange Rate has crashed to a record low of N1,680/£1.

 

NewsOnline Nigeria reports that the parallel market exchange rate in one week witnessed a notable decrease, reaching a record low of N1,680 per Great Britain Pound (GBP).  

 

This represents a 7% or N110 decline compared to the N1,570 recorded at the close of trading on Friday, January 12th. 

 

READ ALSO: Students Decry Prolonged Wait For Commencement of Tinubu’s Education Loans

 

The observed depreciation is unparalleled and stands as the lowest point in the historical performance of the Naira. 

Factors Influencing the Depreciation

Market analysts attribute the recent decline to a consistent surge in demand for dollars that has been evident since the commencement of January. The primary contributors to this heightened demand include: 

  • A substantial portion of the demand is attributed to businesses actively seeking to restock goods or acquire raw materials, necessitating a higher demand for foreign exchange.
  • Individuals pursuing overseas studies have also played a significant role in driving the demand for dollars. This trend is likely connected to the need for tuition payments and related educational expenses.
  • The departure of diaspora Nigerians, particularly noticeable after the holiday season, has contributed to the increased demand for foreign currency. The departure of individuals from the UK has had a notable impact on the parallel market.
  • With schools abroad reopening, international students are actively restocking their foreign currency reserves to meet impending school fees and other financial obligations. Additionally, students are securing funds for holiday allowances.

The unprecedented depreciation marks the lowest point in the naira’s history against the British pound, raising concerns about potential economic ramifications.  

Advertisement
NewsOnline Nigeria

Recent Posts

  • Education

BREAKING: President Tinubu Appoints Joseph Ikechebelu As UNIZIK VC

President Tinubu has appointed Joseph Ikechebelu as the new acting UNIZIK VC.   NewsOnline Nigeria…

13 hours ago
  • Headline

BREAKING: FG Gives 3 States, FCT One Week Deadline To Submit Report On State Police

FG has given 3 States and FCT a week's deadline to submit a report on…

13 hours ago
  • Headline

BREAKING: ICC Issues Arrest Warrants For Netanyahu, Gallant, Deif

 ICC has issued arrest warrants for Netanyahu, Gallant and Deif.   NewsOnline Nigeria reports that…

13 hours ago
  • Crime Watch

Nnamdi Kanu Drags Nigerian Government To Court Over Secret Trial Without Legal Team

Nnamdi Kanu has dragged the Nigerian Government to court over a secret trial without the…

13 hours ago
  • Economy And Business

BREAKING: Senate Gives President Tinubu Swift Approval For $2.2bn Loan

Senate has given President Tinubu swift approval for $2.2bn loan request.   NewsOnline Nigeria reports…

13 hours ago
  • Crime Watch

How Simon Ekpa Was Arrested By Finnish Authorities Over Violence In South East

Details of how Simon Ekpa was arrested by Finnish Authorities over violence in the South…

13 hours ago