UPDATE: Nigerian naira, stocks end year sharply down

Currency of Africa's largest economy, the Naira rose against the dollar in thin early trade to 181.42 but remained on course for a 13.8 percent fall on the year. The stock market ended the year down 16 percent.

It would be recalled that the Central Bank of Nigeria, in November devalued the naira  and this month tightened trading rules to try to curb speculation against the currency, slowing trading to a trickle. The naira had been hard hit by falling world oil prices.

The devaluation of its target band by 8 percent to 160-176 against the dollar was meant to halt the slide in foreign reserves, but the naira has traded well outside that band - and reserves are still falling.

Foreign exchange reserves fell to $34.5 billion by Dec. 29, central bank data showed on Wednesday, down 20.8 percent on the year.

Nigeria's central bank decreed last month that banks are no longer allowed to hold their own funds in dollars and that all dollars bought from the interbank market can be held only for up to 48 hours, as it sought to get tough on speculators.