Nigeria’s currency falls to a record low: What went wrong

igeria is facing one its worst economic crises in years triggered by a surging inflation rate. The naira, the nation’s currency has plummeted to an all-time low, provoking anger and protests from the people

Nigeria’s currency, the naira, has plummeted to a record low due to a surge in inflation, thanks to the monetary policies that have pushed the currency to an all-time low against the dollar.

The inflation rate in January rose to 29.9 per cent, its highest since 1996, mainly driven by food and non-alcoholic beverages, according to the latest government statistics released last Thursday.

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Naira further plummeted to 1,524 to $1 (Rs 82.99) on Friday, reflecting a 230 per cent loss of value in the last year.

The situation has provoked anger and protests across the country.

“My family is now living one day at a time (and) trusting God,” said trader Idris Ahmed, whose sales at a clothing store in Nigeria’s capital of Abuja have declined from an average of $46 (Rs 3,817) daily to $16 (Rs 1, 327).