’Femi AsuThe naira has come under pressure against the United States’ dollar in recent days, falling to 366 to the greenback on the parallel market. The pressure followed the decline in the nation’s foreign exchange reserves for the first time in eight months. The reserves figures had not been updated as of the time of filing this report on Tuesday. I think what is happening is that foreign portfolio investors are not reinvesting their matured instruments; rather they are converting to dollar to take it out. Reuters reported last Thursday that the naira was seen under pressure as portfolio investors continued to exit local treasuries due to lower yields.

Source: Punch May 29, 2018 23:14 UTC