The turnover of US Dollar transactions at the official foreign exchange market took a significant hit, dropping by 64.31% to $96.13 million by the end of the day on Monday. According to data from FMDQ, USD transactions saw a sharp decline from $269.35 million.

Despite this decrease, the naira managed to appreciate slightly by 0.58% to N1,617.96 per USD on Monday, compared to N1,627.4 on Friday. The Central Bank of Nigeria reported that the foreign reserve was at $34.11 billion as of 7th March 2024, up from $34.02 billion the previous day.

In light of these developments, the Economist Intelligence Unit has recommended that the Nigerian government explore foreign loans as a potential solution to the liquidity challenges facing its FX market.

This shift in the foreign exchange market highlights the ongoing fluctuations and challenges faced by Nigeria’s economy. Stay tuned for more updates on this developing story.