The Nigerian naira plunged further, reaching N1,520.123 to a dollar according to data from Naira Rates, marking a significant N38 depreciation within 24 hours. This fall came on the heels of Tuesday’s official foreign exchange market rate of N1,482.75 per dollar, surpassing the parallel market’s N1,470 per dollar.

President Bola Tinubu’s economic policies, notably the removal of fuel subsidy and consolidation of foreign exchange windows into the single I&E window, have been attributed to the naira’s drastic 98% depreciation, as reported by Price Water Coopers. Despite concerns about inflation and reduced purchasing power, these measures aim to attract foreign investment and foster a more market-driven economy.

Since hitting an unprecedented low of N1000 against the U.S. dollar on September 26, the naira has lost 17% of its value, raising concerns about the sustainability of President Tinubu’s fiscal strategies. The persistent decline underscores the challenges associated with these policies, but the government remains optimistic about their potential to bolster the economy in 2024.

For more insights, refer to Price Water Coopers’ recent report, ‘Nigeria’s Economic Outlook: Seven Trends That Will Shape Nigerian Economy in 2024,’ which delves into the broader implications of President Tinubu’s monetary approach.

Credit: Peoples Gazette