Dollar To Naira Black Market Exchange Rate Today, 6th October 2022

How much is dollar to naira in black market?

The exchange rate for a dollar to naira at Lagos Parallel Market (Black Market) players buy a dollar for N720 and sell at N740 on Thursday October 6th 2022, according to sources at Bureau De Change (BDC).

Please note that the Central Bank of Nigeria (CBN) does not recognize the parallel market (black market), as it has directed individuals who want to engage in Forex to approach their respective banks. Also check their website  cbn.gov.ng.

DOLLAR TO NAIRA BLACK MARKET RATE TODAY, 6th October, 2022

Factors Influencing Foreign Exchange Rates

Here are some causes of the dwindling dollar to naira exchange rate;

Inflation Rates: It is well known that inflation directly impacts black market exchange rates. If the Nigerian economy can be stabilized and inflation is brought under control, the naira will benefit; however, if the naira continues to fall, it may indicate that food and other necessities are becoming more expensive daily.

Read Also: Dollar To Naira Black Market Exchange Rate Today, 5th October 2022

Interest Rates: Another tool to keep an eye on is interest rates. If the interest rate at which banks lend money rises, it would harm the economy, causing it to contract and, as a result, the value of the naira to fall.

Government Debt: National debt can impact investor confidence and, as a result, the influx of funds into the economy. If inflows are high, the naira exchange rate will rise in favour of the naira.

Speculators: Speculators frequently impact the naira-to-dollar exchange rate. They stockpile money in anticipation of a gain, causing the naira to plummet even lower.

Read Also: Dollar To Naira Black Market Rate Today, October 2nd 2022

Conditions of Trade: Favorable trade terms will lead to an increase in the value of the naira to the dollar, although Nigeria is currently experiencing a trade deficit. Everything comes from China, India, and the majority of Asian countries.