On September 26, 2023, themoneymail updates on the official exchange rates between the Central Bank of Nigeria (CBN) and the Naira, along with rates for other currencies like Pounds and Euros used in Nigeria. It’s important to note that the CBN does not recognize the parallel market (black market) for foreign exchange and advises individuals to consult their banks for Forex transactions.
The black market exchange rate often differs from the CBN rate and has a significant impact on the Nigerian economy. A weaker Naira can lead to inflation, affecting the population. The CBN emphasizes the need for a turnaround in the Nigerian economy, which includes boosting exports.
The official CBN Dollar to Naira exchange rate as of September 26, 2023, is N784.39 per dollar. This rate is used for transactions on foreign websites when using Naira MasterCard or Debit cards from Nigerian banks, and it tends to be more favorable than rates on the black market.
The CBN exchange rate of dollar to naira today, according to the data posted on the Central Bank of Nigeria (CBN) Currency Exchange Rate where forex is official is as follows:
Below you can see the chart for the Nigerian Naira rate today compared to the Dollar
|1 USD = 784.39 NGN|
|1 Dollars = 784.39 Nigerian Naira|
|The USDNGN rate as of 26 Sep 2023 at 9:11 AM|
The foreign exchange rate between the dollar and the naira is influenced by several factors:
- Inflation Rates: Inflation has a direct impact on exchange rates, especially in the black market. A stable economy with controlled inflation benefits the naira, while a falling naira indicates rising costs for essential goods.
- Interest Rates: The level of interest rates is crucial. Higher interest rates for lending can lead to economic contraction, which in turn causes the naira to lose value.
- Government Debt: The national debt affects investor confidence and capital inflow. If inflows are substantial, the naira’s exchange rate can strengthen.
- Speculation: Speculators can significantly affect the naira-to-dollar exchange rate by hoarding money in anticipation of profits, putting downward pressure on the naira.
- Trade Conditions: Favorable trade terms can boost the naira’s value against the dollar, but Nigeria currently faces a trade deficit, relying heavily on imports from countries like China and India.
In summary, factors such as inflation, interest rates, government debt, speculation, and trade conditions collectively influence the exchange rate between the dollar and the naira. Understanding these factors is essential for assessing the currency’s performance.