United

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 <p class="paragraph">Over the last several months, the Nigerian naira (NGN) has intensified its years-long downward trend against the United States dollar (USD), recently plummeting to a new record low as the country suffers foreign-currency shortages and despite its central bank’s efforts to counter the problem.</p>
 <p class="paragraph">Indeed, the national currency of Africa’s largest economy “is falling to new all-time lows against the US Dollar,” exacerbating the trend that has been steadily happening for nearly a decade, according to the chart data shared by the markets analytics platform <em>Barchart</em> in an X post on February 29.</p>
 <figure class="wp-block-image"><img decoding="async" width="900" height="590" src="https://cdn.thebittimes.com/images/2024/02/29/4147a45b163b056a3305b485cdf4976d.webp" alt class="wp-image-157826" srcset="https://cdn.thebittimes.com/images/2024/02/29/4147a45b163b056a3305b485cdf4976d.webp 900w, https://cdn.thebittimes.com/images/2024/02/29/4147a45b163b056a3305b485cdf4976d.webp 300w, https://cdn.thebittimes.com/images/2024/02/29/4147a45b163b056a3305b485cdf4976d.webp 768w" sizes="(max-width: 900px) 100vw, 900px">
  <figcaption class="wp-element-caption"><em>Nigerian Naira vs. US Dollar. Source: </em><em>Barchart</em>
  </figcaption>
 </figure>
 <h2 class="wp-block-heading" id="h-ngn-usd-analysis">NGN/USD analysis</h2>
 <p class="paragraph">As it happens, the Nigerian naira has continued to weaken versus the US dollar, as its price in USD fell to $0.000632 on February 28 and continued to decline further toward $0.000573, where it stood at the time of publication, according to the most recent chart information.</p>
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   <svg width="32" height="32" viewbox="0 0 32 32" fill="none" xmlns="//www.w3.org/2000/svg"><path d="M4 10.6665V25.3332C4 28.2678 6.392 29.3332 8 29.3332H28V26.6665H8.016C7.4 26.6505 6.66667 26.4078 6.66667 25.3332C6.66667 24.2585 7.4 24.0158 8.016 23.9998H28V5.33317C28 3.8625 26.804 2.6665 25.3333 2.6665H8C6.392 2.6665 4 3.73184 4 6.6665V10.6665ZM8 5.33317H25.3333V21.3332H6.66667V6.6665C6.66667 5.59184 7.4 5.34917 8 5.33317Z" fill="#EF4444"> 
    </path> <path d="M15.996 18.6668L20.4626 14.2815C20.738 14.0166 20.9571 13.6989 21.1068 13.3473C21.2564 12.9957 21.3336 12.6176 21.3336 12.2355C21.3336 11.8534 21.2564 11.4752 21.1068 11.1236C20.9571 10.7721 20.738 10.4543 20.4626 10.1895C19.9074 9.64148 19.1587 9.33422 18.3786 9.33422C17.5985 9.33422 16.8498 9.64148 16.2946 10.1895L15.996 10.4801L15.6973 10.1881C15.1423 9.64023 14.3938 9.33301 13.614 9.33301C12.8341 9.33301 12.0856 9.64023 11.5306 10.1881C11.2552 10.453 11.0361 10.7707 10.8865 11.1223C10.7368 11.4739 10.6597 11.852 10.6597 12.2341C10.6597 12.6162 10.7368 12.9944 10.8865 13.346C11.0361 13.6975 11.2552 14.0153 11.5306 14.2801L15.996 18.6668Z" fill="#EF4444"> 
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  <div id="finbold.com_middle" style="min-width: 300px; min-height: 250px;">
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 <p class="paragraph">Specifically, its current state demonstrates a decline of 1.72% on the week, a more intense drop of 47.04% on its monthly chart, with an accumulated loss of 46.55% in the last 12 months, as per the latest data retrieved by Finbold from <em>TradingView </em>on February 29.</p>
 <figure class="wp-block-image"><img decoding="async" width="1600" height="621" src="https://cdn.thebittimes.com/images/2024/02/29/1f7734042f271f9987002cbfb6211bf4.webp" alt class="wp-image-157828" srcset="https://cdn.thebittimes.com/images/2024/02/29/1f7734042f271f9987002cbfb6211bf4.webp 1600w, https://cdn.thebittimes.com/images/2024/02/29/1f7734042f271f9987002cbfb6211bf4.webp 300w, https://cdn.thebittimes.com/images/2024/02/29/1f7734042f271f9987002cbfb6211bf4.webp 1024w, https://cdn.thebittimes.com/images/2024/02/29/1f7734042f271f9987002cbfb6211bf4.webp 768w, https://cdn.thebittimes.com/images/2024/02/29/1f7734042f271f9987002cbfb6211bf4.webp 1536w" sizes="(max-width: 1600px) 100vw, 1600px">
  <figcaption class="wp-element-caption"><em>NGN/USD trading pair all-time chart. Source: </em><em>TradingView</em>
  </figcaption>
 </figure>
 <h2 class="wp-block-heading" id="h-inflation-continues-to-rise">Inflation continues to rise</h2>
 <p class="paragraph">Meanwhile, the recent depressing figures in one of the nation’s worst economic crises in years arrive despite the central bank intervening with dollar sales by selling $100 million last week, bringing total interventions to $300 million in a single week, according to a <em>Reuters </em>report on February 23.</p>
 <p class="paragraph">Elsewhere, the currency’s devaluation, leading the inflation to almost a 30-year high of 29.9% and making it the third-worst performer among 150 currencies tracked by <em>Bloomberg</em>, has affected not just the West African nation but also corporations worldwide, including London-based lender Standard Chartered, which has lost millions.</p>
 <figure class="wp-block-image"><img loading="lazy" decoding="async" width="1200" height="675" src="https://cdn.thebittimes.com/images/2024/02/29/6b68204782beb1700e1dd0ff07c8c9ca.webp" alt class="wp-image-157827" srcset="https://cdn.thebittimes.com/images/2024/02/29/6b68204782beb1700e1dd0ff07c8c9ca.webp 1200w, https://cdn.thebittimes.com/images/2024/02/29/6b68204782beb1700e1dd0ff07c8c9ca.webp 300w, https://cdn.thebittimes.com/images/2024/02/29/6b68204782beb1700e1dd0ff07c8c9ca.webp 1024w, https://cdn.thebittimes.com/images/2024/02/29/6b68204782beb1700e1dd0ff07c8c9ca.webp 768w" sizes="(max-width: 1200px) 100vw, 1200px">
  <figcaption class="wp-element-caption"><em>Naira’s volatility in 2023-2024. Source: </em><em>Bloomberg</em>
  </figcaption>
 </figure>
 <h2 class="wp-block-heading" id="h-government-policies-fail">Government policies fail</h2>
 <p class="paragraph">Overall, the challenging situation in Nigeria is partially the result of its government’s policies that limited access to the dollar for importers of certain items in an attempt to stabilize the economy following the 2014 price drop of crude oil, the country’s largest foreign exchange earner.</p>
 <p class="paragraph">That said, this course of action led to rampant theft and pipeline vandalism that caused a drop in crude oil sales and contributed to further destabilization of the naira by giving rise to a parallel black market for the dollar, where the currency was trading at a much lower rate.</p>
 <p class="paragraph">Interestingly, the naira devaluation has also given rise to cryptocurrency platforms, leading to a government crackdown on these websites and the detainment of two senior executives at crypto trading platform Binance, upon which the crypto exchange halted trading of the naira against Bitcoin (BTC) and Tether (USDT).</p>
 <p class="paragraph"><em>Start trading forex and stocks CFDs today with Plus500 – a regulated broker with no commissions</em></p>
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 <p class="paragraph"><strong><em>Disclaimer: </em></strong><em>The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.</em></p>
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<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/what-s-going-on-with-the-nigerian-naira-vs-dollar-ngn-usd-tbt81150.html">https://thebittimes.com/what-s-going-on-with-the-nigerian-naira-vs-dollar-ngn-usd-tbt81150.html</a></p>

What’s going on with the Nigerian Naira vs. Dollar (NGN/USD)?

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