**Nigeria’s Naira Plunges as Forex Traders Accuse Central Bank of Manipulating Market**
LAGOS, Nigeria (Reuters) – Nigeria’s naira fell to a record low on the official market on Tuesday, as traders accused the central bank of manipulating the exchange rate to support the local currency ahead of elections next year.
The naira weakened to 446.50 naira per dollar on the official spot market, Refinitiv data showed, a 1.6% decline from the previous close of 440 naira. The currency has lost more than 3% of its value so far this year.
On the parallel market, where the naira is traded freely without central bank intervention, the currency weakened to 485 naira per dollar, a 1.8% decline.
Nigeria’s central bank has been intervening in the currency market to support the naira and prevent its value from falling too rapidly. However, traders say that the bank’s interventions have been ineffective and have instead created an artificial shortage of dollars, which has pushed the naira to record lows.
Central bank officials have denied allegations that they are manipulating the market, saying that they are simply trying to ensure stability in the exchange rate.
However, traders remain skeptical, saying that the bank’s interventions have only made the situation worse.
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