Dollar to Naira Today Thursday, 5 May 2022

The Dollar to Naira exchange rate today May 5, 2022 remained mixed across key foreign exchange markets in Africa’s largest economy as foreign exchange scarcity and rising demand for the U.S. Dollar continue to pressure the Nigerian Naira.

The dollar to Naira exchange rate gained N1 from N419 it traded last week to N418 on Thursday at the Investors and Exporters foreign exchange window. At the Central Bank of Nigeria‘s regulated forex section, the U.S. Dollar was sold at N415.62, slightly better than the N415.69 it exchanged last week while the Pounds Sterling and Euro were exchanged at N519.98 and N437.85, respectively.

The central bank exchange rates are the rates at which the apex bank sells and buys from Deposit Money Banks and international money transfer operators.

Black Market Dollar to Naira Exchange Rate

In the unregulated black market, the Naira was sold at N580 to a United States Dollar in Lagos and N570 in Ibadan, Oyo State. Suggesting that the Nigerian Naira remained largely under pressure against its global counterparts.

Most Nigerians patronise the black market for their forex needs despite the Central Bank of Nigeria’s warning them about the risk associated with patronising unregulated forex dealers. However, businesses and individuals that patronise that section of forex has attributed it to the inability to access forex at the central bank stipulated rate of N418/US$1 in banks.

Crude Oil

Oil prices rose on Wednesday on reports that the European Union is planning to impose sixth sanctions on Russia for waging war against Ukraine.

Brent crude oil, against which Nigerian oil is priced, rose to $110 a barrel after the news and the fact that the Federal Reserve cut interest rates by 25 basis points against the 50 basis points projected by experts.

Also, the U.S. West Texas Intermediate crude oil extended its increase to $106 per barrel.

Cryptocurrency 

The cryptocurrency space came alive as projected in my previous article. Bitcoin to Naira exchange rate rose by 5.9% to ₦23,445,000 or $39,802.34.

The Eth, the token of the Ethereum protocol gained 6.63% to ₦1,734,872 a coin. Luna gained 6.9% to ₦51,408.