Almost everyone in the country presently always check how much dollar is worth and the exchange rate of the currency to Naira each and every day. Before, we use to have a very big difference between black market rate and official CBN rate, but now, the Dollar to Naira Black Market Rate and the official rate is almost the same. You can read our post on the Dollar to Naira CBN rate to see how much the US dollar is worth in the official rate.
We all know that Among the currencies that attract attention in the whole world is the US Dollar (USD), and therefore, it also attracts attention In Nigeria because most of the goods and services used in the country are all imported. The unofficial exchange rate, which is always referred to as the “black market” rate, for converting Dollars to Naira is closely watched due to its impact on many aspects of the Nigerian economy. Before we discuss about the current black market exchange rate of Dollar to Naira, let’s first understand what black market rate is all about.
What is the Black Market Exchange Rate?
The black market exchange rate is the unofficial rate at which currencies are traded outside of formal banking systems. In the case of the Dollar to Naira exchange rate, it means the rate at which people and businesses exchange US Dollars for Nigerian Naira outside the official channels regulated by the government.
Meanwhile, sometimes you will notice that the exchange rate of Dollar to Naira is not stable, this is because there are many factors which affects the exchange rate which Lanegist.com will also discuss in this article. Before that, let’s see the price of Dollar to Naira black market rate today.
Dollar To Naira Black Market Rate Today (Aboki FX)
Dollar to Naira Black Market exchange rate today 25th May 2024 is between ₦1469 – ₦1565 depending on the location.
- Lagos – ₦1468 – ₦1550
- Abuja – ₦1470 – ₦1545
- Portharcourt – ₦1482 – ₦1535
- Kaduna – ₦1478 – ₦1550
- Kano – ₦1477 – ₦1553
- Owerri – ₦1482 – ₦1549
Below is the table that shows the approximate dollar to Naira Black Market exchange rate today 25th may 2024.
| Dollar To Naira | Black Market Rate Today |
| Buying Rate | ₦1479 – ₦1555 |
| Selling Rate | ₦1500 – ₦1560 |
Factors Influencing the Dollar To Naira Black Market Exchange Rate:
There are many factors that affects the black market exchange rate of dollar in Nigeria.
- Economic Stability: The stability of Nigeria’s economy plays an important role in determining the black market exchange rate. Economic not being stable, such as inflation and political instability, can lead to fluctuations in the dollar exchange rate.
- Foreign Exchange Reserves: Nigeria’s foreign exchange reserves, which consist of foreign currencies held by the central bank, influence the availability of Dollars in the market. A decrease in reserves can put pressure on the Naira, leading to a depreciation against the Dollar.
- Government Policies: Government policies, including foreign exchange regulations and interventions by the central bank, can impact the black market exchange rate. Restrictions on currency trading and monetary policies aimed at stabilizing the Naira can affect the availability and demand for Dollars.
Why Monitor the Black Market Exchange Rate?
You may be wondering why people monitor the Dollar to Naira exchange rate in Nigeria, below are the reasons.
- Import and Export Activities: The black market exchange rate affects the cost of importing goods into Nigeria and the revenue generated from exporting goods abroad. Businesses involved in international trade closely monitor the exchange rate to make informed decisions.
- Remittances: Nigerians living abroad often send money back home to support their families. The black market exchange rate influences the value of remittances, affecting the purchasing power of recipients in Nigeria.
- Parallel Economy: Despite efforts to hold it, the black market remains a significant aspect of Nigeria’s economy. Many people and businesses always use the black market for currency transactions due to factors such as convenience and accessibility.
The Dollar to Naira black market exchange rate serves as a barometer of economic conditions in Nigeria. While the official exchange rate provides a lower options, the black market rate reflects the realities of supply and demands and the sentiment of market participants. Understanding the factors influencing this exchange rate is important for businesses and policymakers.
Please note that the Dollar to Naira Black Market Rate always changes daily, so it’s important to note that this post will always be updated daily to give you the current dollar exchange rate daily.
