The Nigerian currency, naira, suffered a significant decline against the US dollar at the foreign exchange market on Tuesday, amid another increase in the pump price of Premium Motor Spirit (petrol).
According to data from the FMDQ, the naira weakened to N1,611.34 per dollar on Tuesday, down from N1,585.77 exchanged on Monday, representing a loss of N25.57.
The naira also lost ground at the black market, depreciating by N10 to close at N1,640 per dollar on Tuesday.
Despite the naira’s decline, foreign exchange transaction turnover increased significantly to $206.61 million on Tuesday, up from $71.18 million the previous day.
The decline in the naira’s value is attributed to the latest increase in the pump price of petrol, which rose to N885 per litre from N617 at the Nigerian National Petroleum Company Limited on Tuesday. This move has sparked concerns about the impact on the economy and the purchasing power of Nigerians.
