Naira falls to 475/$1 as dollar shortage persists
The naira fell to 475 against the dollar at the parallel market on Monday, paring some of its recent gains, despite the new policy on diaspora remittances introduced by the Central Bank of Nigeria last month.
The local currency had on Nov. 30 plunged to 500 per dollar, its lowest level in more than three years, but rose to 470 against the greenback.
The naira, however, resumed its decline last Friday, falling to 472 per dollar from 470/$1 on Thursday.
The CBN announced early December a new policy initiative in a bid to boost remittance inflows and foster an environment that would enable faster, cheaper, and more convenient flow of remittances back to Nigeria.
According to the new policy, beneficiaries of diaspora remittances, through international o transfer operators, shall henceforth receive such inflows in foreign currency (US dollars) through the designated bank of their choice.
It said such recipients of remittances might have the option of receiving these funds in foreign currency cash or into their ordinary domiciliary account.
The apex bank insisted last Wednesday that all Deposit Money Banks must close all Naira General Ledgers through which the naira remittances were being carried out.
