The Pounds to Naira exchange rate remains a crucial economic indicator for businesses, traders, and individuals who rely on foreign exchange transactions in Nigeria.
As of 4th February 2025, the black market exchange rate for the British Pound (GBP) to Nigerian Naira (NGN) reflects ongoing market trends influenced by forex demand and supply dynamics.
Latest Pounds to Naira Black Market Exchange Rate (4th February 2025)
According to currency traders in major financial hubs like Lagos, Abuja, and Kano, the Pounds to Naira black market exchange rate today stands at:
- Buying Rate: ₦1,940.00 per £1
- Selling Rate: ₦2,000.00 per £1
This rate represents the actual exchange value at which traders in the parallel market are buying and selling Pounds Sterling. However, fluctuations may occur due to changing market conditions and variations across different trading locations.
How Much is Pounds to Naira Today in the Black Market?
As of Tuesday, 4th February 2025, the exchange rate of GBP to NGN in the black market has remained volatile due to several economic and policy-related factors, including:
- CBN Forex Policies – The Central Bank of Nigeria (CBN) has been implementing foreign exchange (FX) reforms to stabilize the naira, impacting both official and black market rates.
- Demand for Pounds Sterling – Many Nigerians engage in forex transactions for school fees, medical expenses, travel, and business imports, leading to high demand for GBP.
- Diaspora Remittances – A significant inflow of British Pounds from the Nigerian diaspora in the UK contributes to liquidity in the FX market.
- Global Economic Factors – The performance of the British Pound against major currencies like the US Dollar (USD) and Euro (EUR) influences its valuation in Nigeria.
- Oil Prices and Reserves – As Nigeria relies on crude oil exports for foreign exchange earnings, fluctuations in oil prices can impact the supply of forex in the market.
CBN Official Exchange Rate vs Black Market Rate
While the black market rate for Pounds to Naira currently stands at ₦1,940/£1 (buying) and ₦2,000/£1 (selling), the official exchange rate provided by the CBN is significantly lower.
The gap between official rates and black market rates continues to fuel speculation, with traders and businesses seeking arbitrage opportunities in the forex market.
Factors Affecting the GBP to NGN Exchange Rate
Several key elements influence the exchange rate of the British Pound to Naira, including:
- Inflation and Interest Rates – High inflation in Nigeria weakens the naira, causing the exchange rate to rise.
- Government FX Regulations – Policies restricting forex transactions in banks often push demand to the black market.
- Economic Stability – Investor confidence and macroeconomic stability affect forex availability.
Future Outlook for Pounds to Naira Exchange Rate
Market analysts expect that the GBP to NGN exchange rate could experience further adjustments based on:
- CBN’s intervention in the forex market
- Inflows from foreign direct investments (FDI) and diaspora remittances
- Market reactions to inflationary pressures and interest rate policies
Conclusion
As of 4th February 2025, the Pounds to Naira black market exchange rate stands at ₦1,940 per £1 (buying) and ₦2,000 per £1 (selling). While the CBN continues to implement FX policies, fluctuations in the parallel market remain driven by demand and economic conditions.
For daily updates on forex rates, stay informed with Investor King, your trusted source for financial news, economic insights, and market analysis.
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