Naira depreciates N196.30 to dollar

The naira hit an all-time low of N196.30 against the dollar at the interbank segment of the foreign exchange market on Monday following the announcement of the postponement of the general elections by six weeks.
The Independent National Electoral Commission had on Saturday announced the postponement of the elections from February 14 and 28 to March 28 and April 11.
The postponement of the elections has cast a shadow on the naira’s outlook, pushing the forex markets into a panic mood, according to analysts.
Foreign exchange dealers and financial analysts told our correspondent on Monday that the poll shift had heightened pressure on the naira as investors became worried over whether the elections would hold or not.


On Friday, the naira closed at 193.90 against the dollar despite an intervention by the Central Bank of Nigeria. The naira had closed at 192.70 to the greenback on Thursday.
“The postponement of the elections was a major blow to the naira. The naira has fallen by this margin because investors are worried over whether the elections would hold or not. In a way, it has heightened the security risk on the country,” said a forex dealer who chose to speak under the condition of anonymity.
According to analysts, if the trend continues, the naira may cross 200 against the dollar at the interbank market.
This, they said, would push the value at the parallel market to about 230, up from the current 207.