Naira drops value against dollar

By The Citizen

The value of the naira has continued to fall further following strong demand for the greenback.

The naira fell to 163.6 to the dollar on Wednesday on the interbank compared with 162.95 a dollar the previous day.

However, the central bank of Nigeria (CBN) on Tuesday said it would resist pressure to devalue the naira since it retains ample funds to defend the currency.

In July, the CBN hiked the cash reserve requirement for public sector deposits to 50 per cent from 12 per cent in a bid to tighten naira liquidity and shore up its value but has failed to stem the currency's decline.

In the official window, the central bank sold $260.75m at N155.76 to the dollar, compared with $285m at the same rate on Monday.