The black market exchange rate for the U.S. dollar to the Nigerian naira is ₦1,605 for buying and ₦1,615 for selling as of August 28, 2024. This rate highlights the naira's depreciation against the dollar, exacerbating economic challenges in Nigeria amidst ongoing forex market volatility.
As of August 28, 2024, the exchange rate for the U.S. dollar against the Nigerian naira in the black market stands at ₦1,605 for buying and ₦1,615 for selling. This rate reflects the ongoing depreciation of the naira in the parallel market, which has become a significant concern for both traders and consumers in Nigeria. The black market, also known as the parallel market, operates independently of the official rates provided by the Central Bank of Nigeria (CBN), which today pegs the dollar at ₦1,591 for buying and ₦1,592 for selling.
The CBN has continuously discouraged the use of the black market, urging individuals and businesses to obtain foreign exchange through official channels such as banks. However, due to limited access and stringent conditions in the official forex market, many Nigerians turn to the black market for their currency exchange needs. The discrepancy between the official and black market rates has widened, leading to increased volatility in the forex market.
This depreciation of the naira has widespread implications for the economy, including higher costs of imported goods and inflationary pressures. The dollar's steady rise against the naira underscores the challenges faced by the Nigerian economy, including inflation, foreign reserve depletion, and the ongoing struggle to stabilize the currency. As the naira continues to weaken, both businesses and consumers are forced to grapple with rising costs, further straining economic stability.
