Dollar Exchange Rate Rises Again in Official, Black Markets
- The dollar exchange rate has increased again in the official and unofficial foreign exchange markets
- New data showed that the naira fell against the dollar by 0.076% in the official market and N5 in the black market
- Traders in the parallel marketalso known as the black market, shared new exchange rates for the dollar, pound, and euro
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The dollar has started the new week on a positive note against the naira in the foreign exchange market.
According to data from the Central Bank of Nigeria, the naira closed against the dollar at N1,537.09 in the official Nigerian Foreign Exchange Market (NFEM) on Tuesday, August 12.
Source: Getty Images
The exchange rate on Monday is a 0.076% or N1.77 depreciation for the naira in the official market compared to N1,535.9 previously.
Naira exchange rate vs dollar, pound, euro
It was, however a good news for the naira against the pound sterling and the euro.
Naira marginally gained 20 kobo against the pound sterling in the spot market to close at N2,060.14/£1 compared with the preceding session’s N2,060.34/£1.
Nigerian currency also appreciated against the euro by N3.85 to trade at N1,782.75/€1, in contrast to the previous session’s N1,786.60/€1.
The gains in the foreign exchange market reflect improving confidence and increased supply, helping to ease pressure.
Here is a snapshot of the latest exchange rates
- CFA franc: N2.72
- Chinese yuan (renminbi): N213.76
- Danish krone: N238.82
- Euro: N1,782.75
- Japanese yen: N10.38
- Saudi riyal: N409.25
- South African rand: N86.50
- SDR: N2,106.83
- Swiss franc: N1,889.68
- Pound sterling: N2,060.14
- WAUA: N2,093.23
Source: Getty Images
Naira falls against dollar at black market
In the parallel market, also known as the black market, it was the same story for the naira against the US dollar.
Traders who spoke to Legit.ng confirmed that the Nigerian currency had depreciated against the dollar.
Abdullahi, a Bureau De Change (BDC) trader, said:
He said:
"On Tuesday, the US dollar traded at N1,547 for buying and N1,553 for selling. The euro exchanged between N1,770 and N1,785, while the pound sterling traded between N2,070 and N2,085.
"On Friday of the previous week, the US dollar was quoted at N1,540 for buying and N1,550 for selling, with the euro and pound sterling maintaining the same ranges of N1,770–N1,785 and N2,070 and N2,085 respectively."
Rewane forecasts new exchange rate
Earlier, Legit.ng reported that Bismarck Rewane, the Chief Executive Officer of Financial Derivatives Company, has projected that the naira will close at N1,492/$ in 2025.
The positive outlook, he said, is driven by the domestication of corporate debt, diaspora inflows and remittances, and a likely Eurobond issuance.
These factors are expected to improve dollar supply and reduce pressure on the exchange rate.
Source: Legit.ng
