Naira depreciates as external reserves maintain downward trend

The naira depreciated across all the three segments of the foreign exchange market last week in response to increased demand for foreign exchange. Vanguard investigation revealed that the naira depreciated by 200 kobo at the parallel market as the parallel market exchange rate rose to N171 per dollar at the close of business on Friday from N169 per dollar in the previous week.

The naira also depreciated by 37 kobo at the interbank market, as the interbank rate rose to N159.86 per dollar from N159.49 per dollar.  The official exchange rate also rose marginally to N155.74 from N155.72 the previous week, implying two kobo depreciation for the naira.

Cumulatively, the naira has depreciated by 107 kobo at the interbank market, and four kobo at the official market
The depreciation was occasioned by demand pressure, which was aggravated by reduction in the foreign exchange sold by the Central Bank of Nigeria (CBN) last week. Results of the Retail Dutch Auction System (RDAS) session held last week show that foreign exchange sales dropped by 6.6 per cent to $699.96 million from $749.84 million.

Nigerians decry extra charges on PMS sales to containers

Nigerians have decried the increasing cost of purchasing Petroleum Motor Spirit, PMS also known as fuel using containers.

Vanguard investigation has revealed that most of the filling stations in Lagos, especially those located within residential areas charge additional fees for the commodity bought using containers. The extra charges range from N30 to N100 and depend on the quantity of PMS a customer wants to buy.
During investigation which covered areas from Surulere to Apapa in Lagos, it was discovered that most of the PMS retailers were involved in the unwholesome practice.

Vanguard investigation revealed that the retailers target only customers using containers to purchase. Customers buying with vehicles are sold at the official pump price of N97 per litre, while customers with containers purchase between N100 and N105 per litre. For instance, if a customer is purchasing 10 litres of fuel, he would be forced to pay N1050 or get N950 worth of fuel.