Naira Depreciates by 0.32% to N1,581.65/$ in NAFEX as FX Turnover Declines

esanya

The Naira depreciated against the US Dollar on Wednesday, July 17 by 0.32 per cent or N4.95 to close the week at N1,581.65/$1 in the Nigerian Autonomous Foreign Exchange Market (NAFEM).

This occurred as foreign exchange (FX) supply levels declined, with the turnover decreasing by 21.7 per cent or $30.01 million to $108.16 million compared to the $138.17 million recorded in the previous trading session, according to data from the FMDQ Securities Exchange.

However, the Nigerian Naira remained unchanged against the British Pound Sterling and the Euro in the spot market at midweek, trading at N2,037.36/£1 and N1,711.45/€1, respectively.

In the parallel market yesterday, the domestic currency depreciated against the United States currency by N30 to quote at N1,615/$1 compared to Tuesday’s closing price of N1,585?41.

Meanwhile, the Nigerian government has proposed taxing windfalls generated by banks in the 2023 financial year following the liberalisation of the FX market.

President Bola Tinubu wrote to lawmakers to allow a one-time 50 per cent tax on the FX gains as he sought to amend the 2023 Finance Act. The proceeds will be used to fund capital infrastructure development, education, healthcare, and welfare projects.

In addition to the new tax, the President requested lawmakers to increase government spending by up to N6.2 trillion.

In the cryptocurrency market, there were mainly negative performances due to profit-taking, with Ripple (XRP) declining by 2.8 per cent to sell at $0.5864.

The market had rallied on news of a looming settlement between Ripple and the SEC in the XRP lawsuit, which began last year.

Dogecoin (DOGE) sank by 2.8 per cent to sell at $0.1225, Ethereum (ETH) depreciated by 1.9 per cent to $3,433.69, Litecoin (LTC) waned by 1.7 per cent to $72.15, and Solana (SOL) went down by 1.6 per cent to $159.21.

Furthermore, Binance Coin (BNB) dropped 1.3 per cent to sell for $574.96, Bitcoin (BTC) declined by 1.2 per cent to finish at $64,948.67, and the US Dollar Tether (USDT) decreased by 0.1 per cent to $0.9999, while Cardano (ADA) appreciated by 0.6 per cent to $0.4484, with the US Dollar Coin (USDC) trading flat at $1.00.

The above is the detailed content of Naira Depreciates by 0.32% to N1,581.65/$ in NAFEX as FX Turnover Declines. For more information, please follow other related articles on the PHP Chinese website!