This article will bring you daily update of dollar to naira exchange rate today in black market and CBN official rate for November 2016, dollar to naira in nigeria today, naira exchange rate to dollar today, current exchange rate of the dollar to Nigeria naira, current dollar to naira exchange rate today in black market and 1 dollar to naira black market.
Due to unfortunate depreciation of Nigeria Naira over the past months, many Nigerians that are involve in the importation, exportation, stock and Forex trading have to keep themselves updated on the latest exchange rate not only between the Dollar and the Naira, but also Euro to Naira exchange rate today, Pounds to Naira exchange rate today, CBN exchange rate today etc.
Knowing the current/latest exchange rate gives them hedge on if & how they should proceed with a transaction that involves trading in foreign currencies. Below is the dollar to naira exchange rate today December 2016/January 2017.
This includes both CBN dollar to naira rate daily and dollar naira exchange rate black market today. Foreign exchange is the means of payment for international transaction.
Black Market Dollar to Naira Exchange Rate Today: Buying = N480, Selling = N485.
CBN Dollar to Naira Exchange Rate Today: Buying = N304.25, Selling = N305.25.
Dollar to Naira Official Rate Today: N315 Naira.
Bad Effects of Free Fall or Depreciating Naira on Nigerians.
In my opinion, Nigeria’s current economic problem arises as a result of having only one major exportable product, which is petroleum. Our economy is affected every time oil price falls in the world market.
If we can diversify and develop our Agricultural sector again, IT industries and Chemical industries to a major sector managed by the Federal Government, there is high probability inflation will reduce and dollar naira exchange rate will be more favorable for an average Nigerian. Below are the effects of naira depreciating on Nigerians.
The reduction in the value of Naira is an unfavorable circumstance for the importers. Since what used to cost them N100,000 to import into the country now cost N200,000 naira. So, they have to increase their selling price and when selling price increases, people might decline which in turn hurts their sales. If they continue like this, their business might collapse on the long run. This is one of the con of the current dollar to naira exchange rate today.
A perfect example of the current dollar to naira exchange rate against Nigerians is the on going payment for Hajj. Some Muslim brothers and sisters are finding it difficult to complete the final stage of Pillars of Islam because of unfavorable dollar to naira exchange rate in various Nigerian banks. If not quickly mitigated might affect the Jerusalem Pilgrims and citizens going for Christmas or New year’s vacation at the end of the year.
3.) School Fees Payment.
Another bad effect of the current weakening of Nigerian naira is the increment in the expenses of Nigerian parents with kids abroad. They have to change lot of Naira to few Dollars to carter for the needs of their wards outside the country.
4.) Other effects of a rising dollar and falling naira is on Nigerian stock markets, SMEs collapsing on the long run etc.
Factors Influencing Dollar to Naira Exchange Rate Today Black Market and Official.
1. ) Political Instability.
Nigeria’s current political instability caused by crisis among political parties, Terrorism in the Northern part of the country, extremely low daily power supply etc are driving away foreign investors. Investors from foreign countries look for stable countries with strong economic performance to invest their capital. If foreign investors can settle in Nigeria, they will have to trade in our local currencies which means they will have to buy Naira with their Dollar and in turn increases the value of Naira.
2.) Importation and Exportation.
As i said earlier in this article, Petroleum takes more than 3/4 of our exporting products, leaving just about 20% for agricultural products, chemicals etc. On the other hand, Nigeria imports about anything possible to the country which increases the demand for dollar and then depreciation of Naira. Higher importation and lower exportation is not good for any economy, Nigeria included. Nigeria as a country need to produce more exportable products and reduce the percentage of importation.
3.) Free Fall of Oil Price.
Since Nigeria depends solely on the revenue generated from oil exportation, our economy is affected anytime there is fall in oil price in the world market. This alone shapes Nigerian exchange rate. Naira Dollar exchange rate today is highly affected by fluctuating price of oil in the world market.
4.) Other USD ($) to NGN (N) exchange rate influencing factors are Government policy, Nigerians obsession with foreign products, Inflation, Public debt and Current-Account deficits.
That’s it on naira dollar exchange rate today influencing factors and solutions. This article will be updated daily to reflects the latest dollar to naira exchange rate today December 2016/January 2017. Educate more Nigerians by using the social buttons below.