By Abubakar Yunusa
The naira extended its losing streak at the official foreign exchange market, depreciating by N11.70 against the United States dollar in the week ended July 10 amid sustained pressure on the local currency.
Central Bank of Nigeria data showed that the naira closed at N1,381.70/$1 on Friday, compared with N1,370.00/$1 recorded on July 3, representing a week-on-week depreciation of 0.85 per cent.
The local currency recorded losses on four of the five trading sessions during the review period, ending the week at its weakest official closing rate.
The naira opened the week at N1,371.00/$1 on Monday, slipping by N1 from the previous Friday’s close.
It weakened further to N1,379.00/$1 on Tuesday, a decline of N8 from Monday’s level, before remaining unchanged on Wednesday despite trading within an intraday band of N1,376/$1 and N1,387/$1.
The currency extended its decline on Thursday, closing at N1,379.25/$1, before weakening further to N1,381.70/$1 on Friday, a daily loss of N2.45.
CBN figures also reflected fluctuations in market activity during the week.
Total turnover at the Nigerian Foreign Exchange Market stood at $220.18m on Monday, rising to $423.02m on Tuesday before peaking at $504.67m on Wednesday.
Turnover, however, moderated to $298.92m on Thursday, while Friday’s data did not capture total NFEM turnover.
Interbank market activity followed a similar trend, climbing from $54.18m on Monday to $208.09m on Wednesday before easing to $78.71m on Thursday and $71.04m on Friday.
The latest performance highlights the continued volatility in the foreign exchange market despite improvements in trading volumes during parts of the week.
