The exchange rate between Nigeria’s official currency, the naira, and the US dollar has fallen to a record low at N685.5/$1 in the peer-to-peer (P2P) forex market, findings by Nairametrics from the cryptocurrency P2P exchange market show on July 27th, 2022.
The dollar to Naira which was traded at N667/$1 yesterday has now fallen further by 2.8% to N685.5/$1, as demand for foreign exchange remains elevated amidst sustained scarcity.
The P2P market is often traded in small volumes and the unit of exchange is the cryptocurrency USDT, which is a stablecoin that trades 1:1 with the dollar.
Similarly, Bureau De Change, BDC, operators sold forex at N665/$1 on Tuesday, indicating continuous nosediving of the local currency.
Meanwhile, a report by MoneyCabal said a BDC operator at the Lagos International Airport, stated that he sells dollars for N675/$1. At the same time, he buys from customers at the rate of N665/$1, indicating an N10 margin on every dollar.
The exchange rate for “inflows”, a term for dollar transfers from a foreign country into Nigeria or in another account in exchange for naira locally ranges from between N665-680 from some of the checks conducted.
While the exchange rate is experiencing huge volatility and disparity at the unofficial markets, the Investors and Exporters window, where forex is traded official has also seen some level of a downtrend in recent weeks, albeit controlled.
Notably, the naira fell to N431/$1 at the I&E window on Tuesday’s trading session, the lowest rate recorded since the beginning of the year. This is following the recent decline in the volume of FX available in the market. On Tuesday, only about $58.03 million in FX value exchanged hands, representing a 35% decline compared to $89.8 million that was traded the previous day.
Some BDC operators have blamed the parallel market volatility on the market’s fragmented and disorganized state. Some have also blamed it only significant rise in demand as a result of panic buying.
Meanwhile, some P2P exchange markets traded at lower rates this morning. For example, on Trove, the exchange rate was stated at N665 to a dollar, while Bamboo was N655/$1. It is also worth noting that N685.5/$ is the lowest rate stated on Binance.
Dollar to Naira today at the black market exchange rate: Naira falls to a record low N685/$1
1. How Much Is Dollar To Naira Today
Nigerian Naira Falls To Record Low N685/$1 at the peer-to-peer market Dollar To Naira Today Market Exchange Rate Table
2. How Much Is Dollar To Naira Today CBN Official Exchange Rate?
Dollar to Naira CBN Official Rate Today.
|Dollar to Naira (USD to NGN)||Official Exchange Rate Today|
Dollar To Naira Black Market Exchange Today: Naira Falls To Record Low N685/$1 At Black Market
Why the dollar to naira black market exchange rate (parallel market) is depreciating as naira falls to record low n685/$1 at black market.
Recall that to defend the naira, the Central Bank of Nigeria (CBN) has introduced some regulations, from barring the sale of dollars to BDCs to the RT200 scheme, which is designed to provide an N65 rebate on export revenues. Nonetheless, the CBN intervention, the dollar to Naira is still at an exorbitantly high rate.
Please note that the data on this report is not static and is subject to change at any time. Also, note that this platform is not a foreign exchange website and cannot guarantee the accuracy of the data. And will not be liable for any error on the data.
Credit: Nairametric, MoneyCabal
Lagos Post Online,
Lagos Post is an online publication that seeks to provide fair, unbiased, credible, balanced and useful information about Corporate Organisations, Governments and the General Public by breaking news in Business, Politics, Arts, Entertainment, Culture, and Sports in Nigeria, Africa and the World. As a global news portal, we continually stand for responsible journalism and sound media practice.