Naira Trades at ₦1,545/USD on Black Market

The Nigerian naira traded at ₦1,540 when buying and ₦1,545 when selling on the parallel (black) market.

At the same time, the Central Bank of Nigeria’s official window saw rates range from a low of ₦1,515 to a high of ₦1,532 per dollar. 

Here’s what these figures mean for everyday Nigerians and the economy at large.

Parallel Market Rates

In the informal FX market, where many small businesses and individuals buy and sell dollars, demand remains strong. Dealers quoted ₦1,540 to buy U.S. dollars and ₦1,545 to sell. These rates reflect what most traders actually pay when they need cash for imports, school fees, or travel expenses.

Official CBN Window

At the official Nigerian Foreign Exchange Market (NFEM), banks and authorised dealers traded dollars between ₦1,515 (best bid) and ₦1,532 (best offer). These rates are used for government transactions and large corporate trades. They tend to be more stable but often differ from what non‑bank customers experience in the parallel market.

Why the Rate Gap Persists

1. Supply Constraints: Dollars flow into the official market mainly through oil revenues, corporate earnings, and diaspora remittances. When these inflows lag, the official window tightens, widening the gap with the parallel market.
   
2. Demand Pressure: Small and medium enterprises, importers, and retail customers rely on the parallel market to meet their dollar needs, pushing rates higher there.
   
3. Policy Controls: The Central Bank often limits access to dollars in its window to conserve foreign reserves. Meanwhile, parallel‑market rates adjust freely based on real‑time supply and demand.
   

What It Means for Consumers and Businesses

• Import Costs: Higher parallel-market rates drive up prices for imported goods, such as fuel, electronics, and machinery, resulting in higher prices in shops and on invoices.
  
• Savings and Travel: Individuals holding naira lose more purchasing power if they buy dollars at ₦1,545 rather than the official rate, making travel and foreign‑currency savings more expensive.
  
• Corporate Planning: Companies with access to the official window benefit from lower rates, giving them a cost advantage over smaller businesses that must source dollars on the black market.

Looking Ahead

With the naira’s parallel rate holding near ₦1,545 and the official window capped around ₦1,532, analysts expect the gap to remain unless dollar inflows pick up or policy loosens. Key factors to watch include:

• Oil Revenue Moves: A rise in crude prices or production could boost official inflows and narrow the gap.
  
• Diaspora Remittances: Faster, cheaper remittance channels may encourage more dollars into the formal market.
  
• CBN Interventions: Any change in how the Central Bank sells or limits dollars could shift both official and parallel rates.