Dollar to Naira Exchange Rate Today 5th Feb 2024: Latest Update and Analysis
The black market, also known as the parallel market, is a place where foreign currencies are exchanged unofficially at rates that differ from the official exchange rate set by the Central Bank of Nigeria (CBN). This market is often used by individuals and businesses who cannot access the official market due to scarcity, restrictions, or regulations.
The exchange rate of the US dollar to the Nigerian naira in the black market fluctuates daily depending on the supply and demand of the currencies, as well as other factors such as inflation, political instability, and economic policies. It is usually higher than the official rate, which means that the naira is weaker in the black market. In this article, we will explore how much a dollar is worth in naira today in the black market and how it compares to the official rate.
How much is a dollar to naira today in the black market?
As of 5th February 2024, the black market exchange rate for the dollar to naira is ₦1,455.00 for selling and ₦1,425.00 for buying per US dollar. This means that if one wants to buy 1 US dollar in the black market, they will need to pay ₦1,455.00 naira, and if they want to sell 1 US dollar, they will receive ₦1,425.00 naira. However, it’s important to note that these rates may vary slightly depending on the location and the dealer.
How does the black market dollar-to-naira exchange rate compare to the official rate?
As of February 5, 2024, the official exchange rate for the US dollar to the Nigerian naira is ₦886.89 per US dollar. The Central Bank of Nigeria (CBN) uses this rate for its transactions and interventions in the foreign exchange market. The official rate also serves as the basis for the exchange rates of other foreign currencies.
On the other hand, the black market exchange rate for the US dollar to the Nigerian naira is currently ₦1,455.00 per US dollar, as of the same date. This is significantly higher than the official rate, indicating a parallel market premium of about 64.1%. The parallel market premium reflects the degree of divergence between the official and unofficial markets and reflects the level of confidence in the naira and the CBN’s policies.
Overall, the black market exchange rate for the US dollar to the Nigerian naira is much higher than the official rate, indicating a lack of confidence in the naira and the CBN’s policies.
Frequently Asked Questions
What is the current exchange rate for USD to Naira in the black market?
The current exchange rate for USD to Naira in the black market is not fixed and varies depending on the location and time of the transaction. As of today, the black market rate for USD to Naira is around 1 USD = 550 NGN.
How does today’s bank rate for USD to Naira compare to the black market rate?
Today’s bank rate for USD to Naira is lower than the black market rate. The bank rate is around 1 USD = 410 NGN, while the black market rate is around 1 USD = 550 NGN. It is important to note that the black market rate is illegal and carries a high risk of fraud and counterfeit currency.
What is the Central Bank of Nigeria’s official exchange rate for USD to Naira today?
The Central Bank of Nigeria’s official exchange rate for USD to Naira today is around 1 USD = 410 NGN. This rate is often used by banks and other financial institutions for official transactions.
How much Naira would I get for 100 USD in the black market right now?
In the black market, you would get around 55,000 NGN for 100 USD right now. However, it is important to note that the black market rate is illegal and carries a high risk of fraud and counterfeit currency.
What is the equivalent of 1 USD in Naira in the Nigerian market today?
The equivalent of 1 USD in Naira in the Nigerian market today is around 410 NGN. This is the official exchange rate set by the Central Bank of Nigeria and is often used by banks and other financial institutions.
How has the USD to Naira exchange rate fluctuated in the past week?
The USD to Naira exchange rate has been relatively stable in the past week, with minor fluctuations in both the official and black market rates. However, it is important to note that the exchange rate can be volatile and subject to sudden changes based on various economic and political factors.
