What’s the current black market exchange rate for Dollar ($) to Naira (₦)?
As of May 7th, 2024, the black market exchange rate for Dollar to Naira stands at:
- Buying rate: ₦1,415 per US dollar
- Selling rate: ₦1,435 per US dollar
The black market, also referred to as the parallel market, operates unofficially for currency trading, differing from the Central Bank of Nigeria’s (CBN) official rates.
Often utilized by people and businesses facing limitations or regulations in accessing the official market, the black market rate fluctuates daily due to various factors, including currency supply and demand, inflation, political stability, and economic policies.
Typically exceeding the official rate, the black market rate reflects a weaker naira value.
It’s important to note that these rates might vary slightly based on location and dealer.
How does the Black Market rate compare to the official CBN Exchange rate?
As of today, May 7th, 2024, the CBN official rates of the US dollar to the Nigerian naira are:
- Buying: ₦1,146.165
- Selling: ₦1,147.665
This official rate serves as the benchmark for CBN transactions and interventions in the foreign exchange market, impacting rates for other foreign currencies like the euro, pound sterling, and Chinese yuan.
The disparity between the black market and official rates, known as the parallel market premium, indicates confidence levels in the naira and CBN policies while reflecting the divergence between official and unofficial markets.
