Naira crashes to Dollars to record low at Black market
After a steady rise in exchange rates, the naira has fallen against the dollar at the black market.
The Nigerian official currency, the Naira, has fallen against the US dollar weeks after a steady rise that saw it gain over ₦25 since it fell to its lowest level of ₦575 to a dollar on September 20, 2021
On Wednesday, December 8, 2021, Ejes Gist News Nigeria conducted a survey at the Bureau De Change (BDC) market in Ogba, Lagos, Nigeria’s commercial city, and found that the naira to dollar exchanged at ₦567/$1, failing to maintain the ₦565 position of 1 dollar to naira that it had held for more than seven weeks after the USD to naira exchanged for ₦530/$1.
While speculators expected a further drop in the dollar to naira exchange rate after the Naira’s steady rise a few weeks ago, the opposite is true, as the naira now trades at ₦567/$1 on the parallel market, also known as the black market, compared to ₦530/$1 a few weeks ago. Between November 11th, when the dollar naira traded at ₦535/$1, and Wednesday, December 8th, when the naira to dollar opened at ₦567/$1, the Naira lost N32.
After a week of steady exchange rates, the Naira to dollar exchange rate falls on the black market (parallel market).
According to Ejes Gist News’s report, on Wednesday morning, December 8, players on the parallel market, also known as the black market, bought a dollar for ₦562 and sold it for ₦567, after purchasing ₦560 and selling it for ₦565 last week on Friday, December 3, 2021.
- Naira crashes to Dollars again
Meanwhile, this comes months after the Central Bank of Nigeria (CBN) suspended foreign exchange (forex) sales to BDC operators on July 27, 2021.
CBN directed all those with a genuine need for forex to go to banks. The naira depreciated by N85 against the dollar in less than two months, from N490 to ₦575 per dollar on September 20.
Naira crashes to Dollars, despite CBN intervention in the forex market
Even though the dollar to naira exchange rate opened at 567 per $1 on the parallel market (black market), Ejes Gist News reports that the Central Bank of Nigeria (CBN) does not recognize the parallel market (black market).
As a result, anyone in need of forex should contact their bank, with the I&E window being the only known exchange, according to the apex bank.
Jobs in Nigeria [Apply Now]
- Lagos State Ministry of Health Recruitment 2022 for Ond, Bsc /HND
- Nigerian Army Recruitment Portal 2022 – DSSC Course (26 / 2022)
- Job Vacancies at Christ the Redeemer Secondary Schools for Teaching and Non-teaching Staff
- Nigerian Air Force Recruitment 2022 BMTC 43 – NAF Recruitment Portal – www.airforce.mil.ng Portal Login