Dollar Firm At N485 As President Buhari Presents Record Budget

Forum 7 years ago

Dollar Firm At N485 As President Buhari Presents Record Budget

LAGOS Dec 14 (FxMallam) The Nigerian Naira on Wednesday closed flat against the dollar at the parallel market ending at N485 where it had traded since last week.

The local currency appears to have found equilibrium even as oil prices rise following OPEC output cuts and the nation's reserves continue to inch up.

According to President Muhammadu Buhari, Nigeria will be expecting its 2017 deficit to rise to 2.36 trillion naira ($7.75 billion), as the government tries to drag Africa's biggest economy out of recession with a budget that plans record spending.

Buhari also said the budget was based on an exchange rate of N305 to the dollar and a projected oil output of 2.2 million barrels per day at an assumed price of $42.5 dollars per barrel.

At last check, oil was trading in the mid $50s.

The Naira also maintained its previous day's values against the Euro and the British Pound closing at N515 and N605 respectively.

The year 2016 has seen the local currency depreciated the most in its 43-year history, opening at 197 in January at the official market and 265 at the parallel market.