The scarcity of dollars at the parallel market on Tuesday in Lagos forced the Naira down to N480 to a dollar.
The News Agency of Nigeria (NAN) reports that the Pound Sterling and the Euro exchanged at N610 and N550, respectively.
Trading at the investors’ window saw the naira closing at N385.98 to a dollar as investors traded a total of 20.27 million dollars.
The naira, however, was sold at N381 to a dollar at the official Central Bank of Nigeria window.
NAN reports that the apex bank had hitherto relied on the nation’s foreign reserve and Diaspora remittances in its interventions at the foreign exchange market.
But recent data from the CBN showed that the nation’s foreign reserve fell by $544.94m from $36.17bn on July 1 to $35.62bn on August 3.
The country depends heavily on petrol dollars to shore up its foreign reserve.
U.S. urges W/Bank, IMF to scale down on loans to Nigeria as uncertainty trails delivery of 12 Tucano aircraft
Corruption, Human Rights Abuse, and unabated killings in Nigeria under President Mohammadu Buhari may jeopardize the 2022 delivery date of the 12 Tucano Military Aircraft worth $329million and several loan requests as the United States Government considers a major scaling down of aids and Military supports to Nigeria, according to Pointblanknews.com.
Sources in both Washington DC and Nigeria confirmed that already, the World Bank and the International Monetary Funds, IMF, have been told by the U.S authorities to scale down on loans to Nigeria following confirmed reports of massive corruption under the Buhari’s Government.
Also, the United States Agency for International Development, USAID, and all other U.S donor agencies have been directed by the President Donald Trump administration to cut down or outrightly suspend further aids to Nigeria.
Loan requests from Nigerian currently pending in IMF and the World Bank are being reconsidered and may all be rejected by the international lenders, said knowledgeable sources.
Reuters News Agency had reported that the World Bank is unlikely to approve a much needed $1.5 billion for Nigeria in August as planned due to concerns over desired reforms, quoting a source saying, “they are not convinced about the reforms,” a source close to the government said.
But it has been gathered that while the international lenders are insisting on major reform, the U.S is urging the IMF and the World Bank to scale down on loans due to massive corruption in Buhari’s Government.
“There is a lot of concern of massive corruption in the Buhari’s Government and what is happening now is basically to ensure accountability and prevent funds being diverted. IMF, the World Bank, and other Aid agencies have been told what to do going forward, a source at the State Department who does not want to be named, said.
According to the source, information at the U.S disposal shows massive corruption, human rights abuses, and several killings of mostly Christian minorities in Northern Nigeria, a major concern for the Trump Administration.
Meanwhile, it’s been further gathered that the US government has suspended sales of military hardware over the same reason also because of the pervasive corruption in the administration which has frustrated the war against insurgency in the country.
Boko Haram insurgency has intensified in North-east despite claims by the Nigerian government that the sect has been “technically defeated.”
Also, while bandits, who emerged shortly after the emergence of the Muhammadu Buhari-led administration have killed hundreds and sacked villages in the North-west, killings by Fulani herdsmen across the country, have increased with little or no arrests made by the authorities.