Analysts predict worse depreciation for Naira in 2024

Naira and dollar notes

The drop in the value of the Naira has been triggering hardship across the country which manifests in inflation, especially because Nigeria is import dependent.

By Ishaya Ibrahim

Nigerians have not seen the worst of the Naira’s depreciation, according to global business media giant, Bloomberg.   

The Naira, according to Bloomberg, is poised for its worst year since the return to democracy in 1999, predicting further depreciation in 2024.

At the Nigerian Autonomous Foreign Exchange Market (NAFEM), otherwise known as the official market, FMDQ quoted the Naira exchanging at N1,043.09 as of December 28 close of business. This meant the Naira lost more than half of its value in six months.

On the street market, also known as the Black Market, the local currency sold for N1,205 for a single dollar as at close of business on December 28.

According to Bloomberg, the plunge will continue to 2024 with no sign of respite.

The medium says the Naira’s fall on Thursday, makes it among the worst currencies in the world after the Lebanese pound and the Argentine Peso.

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The report stated: “The naira plunged 55% this year to N1,043 per dollar as of Thursday, making it the world’s worst performer after the Lebanese pound and the Argentine peso among 151 currencies tracked by Bloomberg. And that’s in the official market. On the streets, the currency trades at 1,208 naira per dollar.”

The drop in the value of the Naira has been triggering hardship across the country which manifests in inflation, especially because Nigeria is import dependent.

Ishaya Ibrahim:
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