Economy

Dollar to Naira Black Market Exchange Rate Today, 31st January 2025

The Dollar to Naira black market exchange rate remains a key point of interest for traders, businesses, and individuals seeking real-time currency valuation.

The parallel market often provides a more reflective rate compared to the official CBN exchange rate due to fluctuating forex demand and supply dynamics.

How Much is Dollar to Naira Today in Black Market?

As of 31st January 2025, the black market (parallel market) exchange rate for the US dollar (USD) to Nigerian naira (NGN) stands as follows:

  • Buying Rate: ₦1,619.00/$1
  • Selling Rate: ₦1,635.00/$1

These rates may vary based on location, demand, and the volume of transactions. Check here for real-time updates on the USD to NGN black market exchange rate.

Factors Influencing the Black Market Dollar to Naira Exchange Rate

Several factors contribute to the daily fluctuations in the Dollar to Naira black market exchange rate:

  1. Foreign Exchange Reserves: Nigeria’s forex reserves impact CBN’s ability to intervene in the market.
  2. Inflation and Economic Policies: Rising inflation weakens the naira, increasing exchange rate volatility.
  3. Oil Prices: Nigeria’s economy heavily depends on oil revenue. A decline in oil prices often puts pressure on the naira.
  4. Demand for Forex: Businesses, travelers, and importers seeking dollars outside official channels contribute to black market price swings.
  5. Government Regulations: CBN policies, including forex restrictions and intervention strategies, affect parallel market rates.

CBN Official Exchange Rate vs Black Market Rate

The Central Bank of Nigeria (CBN) maintains an official exchange rate that is typically lower than the black market rate. However, forex restrictions and dollar shortages force many businesses and individuals to rely on the parallel market.

For the latest CBN official exchange rate for Dollar to Naira, visit the CBN website.

Is It Legal to Exchange Dollars in the Black Market?

While the black market exchange of forex is not officially recognized by Nigerian financial regulators, it remains a dominant alternative for accessing dollars due to forex scarcity in banks. However, users should exercise caution and ensure transactions are done through reliable dealers.

Conclusion

The Dollar to Naira black market exchange rate today, 31st January 2025, is ₦1,635/$1 (Selling) and ₦1,619/$1 (Buying). The rate is influenced by various economic factors, including demand for forex, inflation, and government policies.

For daily updates on the USD to NGN exchange rate, bookmark Naijaonpoint and stay informed on Nigeria’s forex market trends.

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