Dollar to naira black market exchange rate today black market (Aboki dollar rate):
currency dealers in Abuja Zone 4 market, Lagos, Nigeria said a dollar was bought at the rate of ₦772 and sold at the rate of ₦775 today.
Exchange Rate of Dollar To Naira in Black Market Today?
The local currency (abokiFx) opened at N772 per $1 at the parallel market otherwise known as the black market, today, Sunday, 2nd July 2023 in Lagos Nigeria, after it closed at N775 per $1.
IMPORTANT NOTE: Please note that the exchange rate changes hourly.… it depends on the volume of dollars available and the Demands. What it means is that…you can buy or sell 1 dollar at 772 and the price can change (high or low) within hours.
Current Dollar To Naira CBN Exchange Rate Today 2nd July 2023
| Dollar to Naira (USD to NGN) | Black Market Exchange Rate Today |
| Buying Rate | 760 |
| Selling Rate | 765 |
Floating has undervalued naira, Bank of America declares
President Bola Tinubu’s radical foreign exchange reform has caused a significant shift in Nigeria’s currency, the naira, from being overvalued to now being undervalued.
According to analysts at Bank of America, since the Central Bank of Nigeria (CBN) scrapped multiple exchange rates on June 14, 2023, the naira has depreciated by over 60 per cent. It is now trading at over ₦750 to one US dollar, compared to ₦460 before the reform.
Bank of America estimates the fair value of the naira to be ₦680, which means the currency is currently undervalued by 12 per cent. The analysts believe that despite the present challenges, the naira’s value should strengthen and appreciate in the future.
The bank also suggests that Nigeria’s current account surplus could improve further due to higher oil exports (estimated $12 billion more) and a liberalized import regime ($10 billion increase in non-oil imports).
They propose that President Tinubu’s next crucial step should be to reduce oil theft by reforming the security sector and involving host communities near the pipelines.
If successful, Bank of America foresees a potential increase in Nigeria’s crude oil production from 1.2 million barrels per day (bpd) to 1.6 million bpd within the next 12 to 18 months. This would be a significant improvement, potentially reaching pre-pandemic production levels.
President Bola Tinubu’s bold foreign exchange reform has had a substantial impact on Nigeria’s currency, the naira, shifting it from an overvalued position to now being undervalued.
Analysis conducted by Bank of America reveals that since the Central Bank of Nigeria (CBN) eliminated multiple exchange rates on June 14, 2023, the naira has depreciated by more than 60 percent. Currently, it is being traded at over ₦750 to one US dollar, compared to ₦460 prior to the reform.
Bank of America’s analysts estimate that the fair value of the naira should be around ₦680, indicating that the currency is presently undervalued by approximately 12 percent. However, these analysts believe that despite the challenges being faced, the value of the naira is expected to strengthen and appreciate in the future.
Additionally, the bank suggests that Nigeria’s current account surplus has the potential to improve further due to increased oil exports, estimated at an additional $12 billion, and a more liberalized import regime, which could result in a $10 billion increase in non-oil imports.
They propose that President Tinubu’s next crucial step should involve tackling oil theft by implementing reforms in the security sector and engaging with the communities located near the pipelines.
If successful, Bank of America predicts a potential rise in Nigeria’s crude oil production from the current 1.2 million barrels per day (bpd) to 1.6 million bpd within the next 12 to 18 months. Such a development would signify a significant improvement and could potentially bring production levels back to the pre-pandemic era.
