Naira Crashes to N908/$1 at P2P, N900/$1 at Parallel Market

By Adedapo Adesanya

The Naira depreciated against the United States Dollar in the Peer-to-Peer (P2P) and the parallel market windows of the foreign exchange (FX) market on Tuesday as forex supply shortfall worsens.

However, in the Investors and Exporters (I&E) segment, the Nigerian Naira appreciated against the US Dollar yesterday by 2.23 per cent or N17.27 to trade at N757.51/$1, in contrast to Monday’s exchange rate of N774.78/$1, as the value of FX trades in the official market remained unchanged at $45.98 million, according to data obtained from FMDQ Securities Exchange.

In the Peer-to-Peer (P2P) window, the value of the Nigerian currency closed downward against the greenback yesterday by N11 to close at N908/$1 versus the preceding session’s N897/$1.

Also, in the black market, the domestic currency lost N5 against the American currency to settle at N900/$1 versus the previous trading day’s N895/$1.

The Naira also witnessed a decline against the Pound Sterling during the session by N14.04 to sell at N973.03/£1 compared with Monday’s N958.99/£1 and shed N10.84 against the Euro to trade at N838.54/€1 compared with the preceding day’s N827.70/€1.

The cryptocurrency market rose broadly on Tuesday after a ratings agency, Moody’s, put the US banking sector on watch.

The moves began early Tuesday morning after Moody’s cut ratings of 10 US banks and put some big names – including Bank of New York Mellon, US Bancorp, State Street and Northern Trust – on downgrade watch.

Bitcoin (BTC), the largest cryptocurrency, jumped by 1.8 per cent to sell at $29,746.68, as Ethereum (ETH) appreciated by 1.3 per cent to $1,856.88.

Solana (SOL) rose by 5.7 per cent to $24.51, Ripple (XRP) jumped by 3.2 per cent to trade at $0.6437, Cardano (ADA) expanded by 2.2 per cent to $0.2981, Litecoin (LTC) improved by 1.6 per cent to $83.99, Dogecoin (DOGE) went up by 1.6 per cent to $0.0749, and Binance Coin (BNB) logged a 0.9 per cent rise to trade at $244.69, while Binance USD (BUSD) and the US Dollar Tether (USDT) closed flat at $1.00 apiece.