Black Market Dollar To Naira Exchange Rate: CBN’s Official Forex Market Increases Cost Of Buying Dollar

July 14, 2022 Dollar Update: The naira to dollar exchange rate increased on Thursday at the Investors and Exporters window, which is the official foreign exchange market recognised by the Central Bank of Nigeria (CBN).

Following close of business, Prime Business Africa gathered that foreign currency traders supplied the legal tenders at a high rate of N424.62/$1, up by 0.01%, when compared to the N424.58 one dollar exchanged in naira on Wednesday.

This revealed the increase in forex supply did little or nothing to meet the strong dollar demand in the official market, considering $87.95 million was transacted during the review period.

Forex supply recorded an increase of 44.56%, having reported that $60.84 million was disbursed into the Investors and Exporters window during the day before, being Wednesday.

Aside from the supply having no positive inpact on the value of naira, the report from Godwin Emefiele-led CBN that Nigeria’s foreign reserves rose to $39.4 billion as of Wednesday, from the $38.4 billion reported early July, went unnoticed on the value of the country’s currency.

The naira still went ahead to depreciate on Thursday despite the central bank having more foreign currency to curb dollar scarcity in the Nigerian exchange market.

However, in the parallel market, Bureau De Change operators maintained the cost of $1 at N618.

Meanwhile, the peer-to-peer market also reported that the Nigerian currency performed badly in its section against the dollar, with both currencies exchanging for N622.25/$1 on Friday.

It was gathered that sellers upped their asking price by 0.29%, in contrast to the N620.41/$1 recorded during the previous session.