Bureau De Change Operators Fail To Agree On Dollar Rate

November 3, 2022
Naira Ends Week With N59.71 Gain At Official Market
Naira and Dollar

November 3, 2022, Dollar Rate: The dollar rate in the black market fell below N1000 on Thursday, as Bureau De Change operators told Prime Business Africa that they are still struggling to get their hands on dollar.

On Wednesday, PBA had reported that the naira exchanged for the dollar at most N1000, however, findings from three different BDC operators showed the highest rate was N900 as at Thursday morning.

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The lowest rate was put at N840, as demand and scarcity of the United States currency continues to determine the movement of the rate in the parallel market.

Scarcity of dollars is experienced in both the black market and the official forex channel, but it has worsened in the latter after Central Bank of Nigeria (CBN) stopped selling to Bureau De Change operators.

The ban wiped off about $110 million (they received per week) from BDC dollar vault, as the CBN often provided $20,000 each to over 5,500 BDCs per week.

This means about $5.72 billion was allocated to BDC operators per year. The ban significantly dipped the availability of dollars, and increased the value simultaneously.

In the official exchange market, a dollar exchanged for N446/$1 on Wednesday, reflecting the naira remained stabled from Tuesday’s closing rate.

Meanwhile, some Nigerian governors have been complaining about the dollar rate. Both Nasarawa State governor, Abdullahi Sule, and Edo governor, Godwin Obaseki, expressed concerns.

Governor Sule said, “I am extremely worried. But again, it takes you back really to understand, ‘Does it worry me?’ Of course, it worries me very badly.

“Because is that making it a little easier on the part of the common man? No. The common man is actually going through the heat during this period.”

Also, governor Obaseki said the dollar is no longer available in the market, faulting the central bank for announcing plan to release redesigned naira notes.

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