Black Market Dollar To Naira Exchange Rate: Dollar Sells For N707, As Senate Wants Scapegoat For Weak Naira

July 27, 2022 Dollar Update: The exchange rate of the dollar in Nigerian currency, naira, finally crossed the N700 mark on Wednesday in the black market, as demand for the United States legal tender skyrocket.

At the close of business hour, Bureau De Change operators sold one dollar to buyers, who chose not to approach the official exchange rate market, at a cost of N707.

This indicated that the naira weakened by -3.21% – representing an increase of N22 on dollar value – when the exchange rate was compared with the previous session price of N685.

In the last three days, the naira had weakened against the dollar, rising from Friday’s N654/$1 to N665/$1 on Monday. A day later, the Bureau De Change operators increased the cost of dollar to N685 on Tuesday.

The constant growth in dollar value, and depreciation of naira has created concerns among Nigerians, including the Senate, leading to the summon of the governor of Central Bank of Nigeria (CBN) Godwin Emefiele to the upper chamber.

Senator Biodun Olujimi had stated that the central bank had failed in its duties in managing the naira, and someone must be penalised for the situation naira is currently in.

Meanwhile, on Wednesday, the Senate told the CBN to urgently intervene to stop the rapid decline in the value of Naira in service to dollar and other international currencies.

The lawmakers also directed the Senate Committee on Banking, Insurance and other Financial Institutions to conduct an accessment on the Central Bank of Nigeria Intervention Funds and the decline in the value of the naira to come up with sustainable solutions.

All these is in a bid to ensure that the naira doesn’t depreciate further. In its directives to the financial regulator, the Senate also called on the CBN to average the official and parallel rate.