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US Dollar Gains Against Naira, Sells at NGN565/USD At Black Market

Last Updated on December 6, 2021 by Ope Quadri

The exchange rate of the US dollar to Naira on Monday, December 6, 2021, shows the value of the Nigerian currency isn’t showing any sign of improvement, most especially at the black market (parallel market).

Black market rate

As of Monday, December 6, 2021, 11:45 AM, $1 was selling at NGN565 (buy) and NGN560/$1 (sell), according to one of the Bureau De Change (BDC) agents t Allen, Ikeja, Lagos. It’s NGN560-NGN555 last week.

The exchange rate depends largely on the volume of your trade and your power of negotiation as you can be “cheated” if you failed to compare prices before buying or making sales.

In Osogbo, Osun State capital, it’s NGN550/$1 (buy) and NGN540 for buy, depending on the volume of trade.

Position of CBN

While the black market price isn’t recognised by the Central Bank of Nigeria (CBN), it continues to be the closet and more accessible to the people, though the apex bank had described activities of BDC as sabotaging the FX policies of the government.

Bank rate

The official rate according to date from FMDQ Security exchange where forex is traded, $1 was NGN413.85 at the time of publication after it closed at NGN414.73/$1 Friday, December 3, 2021.

CBN rate

The CBN exchange rate is NGN411.74/$1; NGN546.2555 against Great Britain Pound, while it’s NGN465.6779 again one Euro.

Since the new forex policy against BDC in Nigeria, the CBN has rolled out several measures to achieve transparency in the forex exchange market, one of such is the new ways to access Personal Travel Allowance and making payment for foreign school fees by Nigerians who are undergoing studies at foreign institutions among others.

But the bloated and alleged inflated estacode by Nigerian politicians who travel overseas for political jamboree remains a huge burden on the FX market and Nigeria’s economy, which is bleeding, according to financial and economic analysts.

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