Connect with us

Naira

Naira Crashed to N780/$ After CBN Announced Redesign Policy

Nigeria’s Naira witnessed a significant fall against the U.S. Dollar during the week, trading at N780/$1 at the unofficial market.

Published

on

Naira Dollar Exchange Rate - Investors King

Nigeria’s Naira witnessed a significant fall against the U.S. Dollar during the week, trading at N780/$1 at the unofficial market, the black market.

The recent crash comes on the heel of the central bank’s announcement to redesign a portion of the naira notes.

On Wednesday, the Central Bank of Nigeria (CBN) announced that it will redesign the N100, N200, N500, and N1000 naira notes and make them available to the public by December 15, 2022. 

According to the CBN, Nigerians can visit their banks to deposit their old naira notes in exchange for new ones. 

Following this news, instead of going to the bank, several Nigerians trooped to the Bureau De Change market to convert their naira denominations to dollars. Subsequently, the pressure on the naira forced it to N780 against the U.S. dollar at the unofficial mark

Our correspondent who was at the popular Wuse District in Abuja learnt that there were few numbers of Bureau De Change available to attend to the numerous customers. 

Saliu Radda, one of the available Bureau de Change operators, noted that the demand for foreign currencies, particularly the Dollar is high. He stated that he has almost consumed what he has in his vault. 

Similarly, another operator with the name Abubakar Ibrahim stated that many people are avoiding being caught up with the CBN policy to change naira notes. He added that most of those who are hoarding the naira are changing it to the dollar to be on the safer side. 

It would be recalled that the Central Bank had clarified that the redesigned naira notes will help to curb hoarding, counterfeiting, and terrorism. 

While speaking in Abuja, the CBN Governor, Godwin Emefiele noted that as of September 2022, a sum of N2.7 trillion out of N3.3 trillion currency in circulation is held by the public. This means that about 85 percent of the naira currency in circulation is out of commercial banks.

Investors King learnt that the last time the apex bank redesigned the naira note was in 2014 when the national bank changed the design of N100 note to commemorate Nigeria’s centenary celebration. 

Continue Reading
Comments

Naira

Naira Appreciates Slightly to N1,542.58/$ at NAFEM

Published

on

New Naira notes

The Naira appreciated marginally against the United States dollar, closing at N1,542.58/$ at the Nigerian Autonomous Foreign Exchange Market (NAFEM) on Wednesday.

This modest gain represents a 2.9 percent appreciation from the previous day’s rate of N1,598.54, highlighting a nuanced fluctuation in the currency’s value.

According to data sourced from the FMDQ Securities Exchange, a platform overseeing FX trading in Nigeria, the Naira’s journey throughout the trading day was marked by an intra-day high of N1,755 and a low of N1,050.

Moreover, the total foreign exchange turnover surged to $172.14 million, indicating a 47 percent increase from the previous day.

Despite the Naira’s marginal gain at NAFEM, concerns persist regarding the widening gap between the official and parallel market rates.

The Naira’s depreciation to N1,900 against the dollar in the parallel market before it moderated to N1,687 later in the day.

Analysts and Bureau De Change operators foresee further pressure on the Naira, with predictions of a potential all-time low of 2,000/dollar at the parallel market in the coming weeks.

The demand for the greenback continues to fuel volatility, prompting regulatory actions from entities like the Economic and Financial Crimes Commission (EFCC) and the Central Bank of Nigeria (CBN) to curb speculative activities.

As stakeholders monitor the currency’s trajectory, the CBN’s efforts to address forex liquidity challenges and stabilize the Naira remain under scrutiny amidst evolving market dynamics.

Continue Reading

Naira

CBN Report: Currency Outside Banks Drops to N3.28 Trillion in January 2024

Published

on

New Naira notes

A recent report released by the Central Bank of Nigeria (CBN) has indicated a notable decline in the amount of currency held outside banks, dropping to N3.28 trillion in January 2024.

This figure represents 89% of the total currency in circulation (CIC), signifying a shift in money circulation patterns.

Compared to December 2023, where currency outside banks stood at 94% of the total CIC, the recent decline suggests a reconfiguration in monetary dynamics.

The report further unveils a significant year-on-year surge, with currency outside banks skyrocketing by 314%, rising from N79 billion in January 2023 to N3.28 trillion in January 2024.

Currency trends in 2023 displayed fluctuating patterns, with notable peaks and dips throughout the year. However, December 2023 marked the zenith, recording the highest percentage of money held outside banks to CIC at 94%.

The CBN report sheds light on evolving financial landscapes, reflecting changing consumer behaviors, economic policies, and market dynamics.

Analysts anticipate that the data will inform future monetary policies and regulatory measures to ensure financial stability and liquidity in Nigeria’s economy amidst shifting trends and emerging challenges.

Continue Reading

Naira

Dollar to Naira Black Market Today, February 21st, 2024

As of February 21st, 2024, the exchange rate for the US dollar to the Nigerian Naira stands at 1 USD to 1,820 NGN in the black market, also referred to as the parallel market or Aboki fx.

Published

on

naira

As of February 21st, 2024, the exchange rate for the US dollar to the Nigerian Naira stands at 1 USD to 1,820 NGN in the black market, also referred to as the parallel market or Aboki fx.

For those engaging in currency transactions in the Lagos Parallel Market (Black Market), buyers purchase a dollar for N1,710 and sell it at N1,700 on Tuesday, February 20th, 2024 based on information from Bureau De Change (BDC).

Meaning, the Naira exchange rate declined when compared to today’s rate below.

This black market rate signifies the value at which individuals can trade their dollars for Naira outside the official or regulated exchange channels.

Investors and participants closely monitor these parallel market rates for a more immediate reflection of currency dynamics.

How Much is Dollar to Naira Today in the Black Market?

Kindly be aware that the Central Bank of Nigeria (CBN) does not acknowledge the existence of the parallel market, commonly referred to as the black market.

The CBN has advised individuals seeking to participate in Forex transactions to utilize official banking channels.

Black Market Dollar to Naira Exchange Rate

  • Buying Rate: N1,820
  • Selling Rate: N1,810

Continue Reading
Advertisement




Advertisement
Advertisement
Advertisement

Trending