Recent data shows the Nigerian naira was among the list of 15 worst-performing currencies in Africa in 2024....Read Full Article >>➤
The Nigerian currency closed 2024 negatively, depreciating by over 40% despite a series of innovative policies by the Central Bank of Nigeria (CBN) to prop up the naira’s value.
The naira gains slightly at the close of December Data from the FMDQ Exchange shows that the naira gained slightly on Tuesday, December 31, 2024, rising by 0.02% in the Electronic Foreign Exchange Market System (EFEMS). T
he naira opened trading negatively at N1,544.83 against the dollar and closed at N1,538.25 per dollar, representing a 0.02%.
Traders at the EFEMS quoted the dollar at a high of N1,547.32 per dollar and a low of N147.32.
African currencies experience depreciation
Meanwhile, other African currencies faced persistent trade imbalance, resulting in massive depreciation in the outgone year.
Also, high inflation, political instability, and declining reserves led to currency depreciation on the continent.
The continent’s currencies also faced high debt levels and geopolitical tensions, which affected foreign direct investments (FDI) in those countries.
Exchange rates significantly impact a country’s inflation and the citizen’s purchasing power.
A sharp decline can drive inflation through the roof by raising the cost of imported products, placing additional strain on consumers and the economy.
According to reports, as of August 1, 2023, Sierra Leone’s currency, the Leone, had the highest exchange rate, with one US dollar trading at 21,021.7 leones, making it the continent’s weakest currency.
Guinea’s Franc came second with 8.521 to a dollar, and Malagasy Ariary traded at 4,430.
Other currencies include the naira, which traded for most of 2024 at N1,600 to a dollar, the Angolan kwanza at 599, Sudanese pounds at 185, the Liberian dollar traded at 4.77, the Libyan dinar at 11 to a dollar, the Ghanaian cedi and the Egyptian pound also depreciated massively.
Naira: Nigeria
Kwacha: Malawi
Franc: Congo
Kwanza: Angola
Leone: Sierra Leone
Ariary: Madagascar
Franc: Burundi
Franc: Comoros
Shilling: Uganda
Franc: Guinea
Shilling: Somalia
Sudan: Pounds
Dollars: Liberia
Tanzania: Shilling
...Read Full Article >>➤
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