This digital news platform has obtained the exchange rate of the dollar to naira black market today, August 25th, 2023 in Nigeria. This includes the black market rates obtained from Bureau De Change (BDC) operators in Lagos and Abuja and the CBN rate.
The exchange rate for a dollar to naira black market also called parallel market today at Lagos and Abuja, players buy a dollar for N907 and sell at N915 on Friday, 25th August 2023, according to data obtained by VERY SERIAL from Bureau De Change (BDC) operators.
How much is dollar to naira black market today August 26th, 2023?
The naira on Friday, 25th August, 2023 appreciated marginally by 0.54 per cent against the United States dollar at the black market to trade at N915/$ as against N920/$ it traded on Thursday. This is according to data obtained by VERY SERIAL from Bureau De Change (BDC) operators and Aboki FX, a platform that monitors dollar to Naira exchange rate daily in Lagos, Abuja and across Nigeria. This means 1 USD is purchased at N907 at the black market and sold at N915, resulting to a profit of N8 per dollar.
|Dollar to Naira (USD to NGN)
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Official Exchange Rate from CBN Website for today Friday, 25th August 2023.
Find below official exchange rate of a number of currency to the Naira from the Website of the CBN.
Differences and Dynamics of the Official CBN Rates and the Parallel (Black) Market Rates
Currently, Nigeria operates two foreign exchange (FX) markets: one is the official central bank rate, while the other is the parallel/black market rate.
Although the parallel segment is more accessible to traders and businesses who need FX, the Central Bank of Nigeria (CBN) has consistently maintained that it does not recognize the Parallel (black) market as according to the CBN IT represents less than one percent of forex transactions and should never be used to determine the exchange rate. It has directed individuals who want to engage in Forex to approach their respective banks.
The dollar to Naira black market exchange rate for dollars is frequently higher than the Central Bank of Nigeria (CBN). The CBN Exchange rate is the rate at which you can purchase or sell dollars for Naira on the CBN dollar-to-naira website, cbn.gov.ng.
The dollar to naira bank rate is the rate you use when you buy something from a foreign website with your Naira MasterCard or Debit card from a Nigerian bank. These rates are almost always cheaper than those available at the black market otherwise called parallel market.
Critical Factors Affecting/Influencing Foreign Exchange (FOREX) Rates
1. Inflation Rates
It is well known that inflation directly impacts black market exchange rates. If the Nigerian economy can be stabilized and inflation is controlled, the naira will benefit; however, if the naira continues to fall, it may indicate that food and other necessities are becoming more expensive daily.
2. Interest Rates
Another tool to keep an eye on is interest rates. If the interest rate at which banks lend money rises, it would harm the economy, causing it to contract and, as a result, the value of the naira to fall.
3. Government Debt
National debt can impact investor confidence and, as a result, the influx of funds into the economy. If inflows are high, the naira exchange rate will rise in favour of the naira.
Speculators frequently impact the naira-to-dollar exchange rate. They stockpile money in anticipation of a gain, causing the naira to plummet even lower.
5. Conditions of Trade
Favorable trade terms will increase the value of the naira to the dollar, although Nigeria is currently experiencing a trade deficit. Everything comes from China, India, and the majority of Asian countries.