A recent report by Statisense has ranked the Nigerian Naira and the Argentine Peso among the top 15 weakest currencies against the U.S. dollar, highlighting ongoing economic challenges in both nations.
Naija News reports that this revelation follows a considerable depreciation in the value of the Naira.
The currency hit a record low in March, exchanging at over N1,900 to a dollar before significantly improving to N1,100.
However, recent trends indicate a continued decline, with the Naira currently trading for over N1,300 to the dollar. This fluctuation underscores the naira’s persistent volatility and weakening stance in the global currency market.
According to the Statisense report, the top 5 currencies listed to be performing poorly against the dollar were Lebanon, Syria, Argentina, Nigeria and South Sudan, respectively.
Malawi, Angola, Turkiye, Egypt, Zambia, Venezuela, Burundi, Belarus, Congo, and Laos are also among the 15 countries whose currencies are performing poorly against the U.S. dollar.
The report situates the Naira and the Argentine Peso within a broader context of global economic instability, where multiple countries are grappling with inflationary pressures, political instability, and challenges in the financial sector.
In Nigeria, factors such as fluctuating oil prices, foreign exchange reserve pressures, and speculative activities are exacerbating the situation, leading to a continuous depreciation of the Naira.
Similarly, Argentina has been dealing with longstanding economic difficulties, inflation, and fiscal deficits that have weakened the Peso.
Economic analysts suggest that stringent economic reforms, better fiscal management, and stabilizing measures are crucial for improving the strength of these currencies.
