The value of the naira to the dollar has crashed from 196.99 in December 2015 to 410 in April 2021, showing a 51.95 per cent decline despite the Central Bank of Nigeria’s various foreign exchange policies.
Document made available by the apex bank on its website reveals that the value of naira at the inter-bank forex market stood at N196.99 as of December 2015.
Meanwhile, The Punch had in Maay reported that CBN officially adopted the NAFEX exchange rate of N410.25/$1 as its official exchange rate, devaluing the naira from N379/$.
CBN had in June of 2015 announced that it was stopping the supply of forex to 41 items that could be easily produced in Nigeria.
A circular by the bank read, “The implementation of this policy will conserve foreign reserves as well as facilitate the resurrection of domestic industries and improve employment generation.”
After a year of implementation of this policy, the value of naira plummeted at both markets, falling from 197/$ to 232/$ and 218/$ to 351/$ at the official and parallel markets respectively.
From January of 2020 to April of 2021, the naira has continued to crash at both markets, falling from 307/$1 to 381/$1 in the official window and 361/$1 to 481/$1 at the parallel market.