Naira Weakens As Foreign Investors Increase Dollar Demand Amid Stock Sell-Off

The naira came under renewed pressure at the Nigerian Foreign Exchange Market (NFEM) on Friday as heightened demand for the United States dollar outpaced available foreign exchange supply, leading to a slight depreciation of the local currency.
Market data showed that the naira traded within a band of N1,363 and N1,370 to the dollar during the session, reflecting persistent pressure in the foreign exchange market despite improved liquidity conditions earlier in the day.
Analysts attributed the currency’s weakness largely to increased demand from foreign portfolio investors exiting positions in the domestic equities market and converting proceeds into dollars for repatriation.
The se...