Dollar to Naira black market rate today Thursday, 21st May 2020

Dollar to Naira black market rate today Thursday, 21st May 2020

Naira drops against Dollars, remains stable against others

Dollar to Naira black market rate today Thursday, 21st May 2020 is N450/N460.  The Exchange rate of dollar to naira has seen the NGN Naira have mixed fortunes against the USD Dollars during the course of last year. At a point last year 1 USD to 1 NGN black market rate was as high as N500/N525. However, the naira exchange rate to major world currencies in the parallel market took an upward turn after the apex bank implemented policies in a bid to save the naira.

NAIRA in downward slide

1 USD to 1 NGN black market rate stood at  N445/N460 at the start of the day, showing no changes for the Naira against the dollar. However, the Naira recorded positive changes against other major currencies, closing at N450/N470  and N530/N545 against the Euro and Pounds respectively from N450/N465and N530/N545 from yesterday.

Wetinberate Dollar to Naira black market rate today Monday, 10th February 2020
Dollar to Naira black market rate today Thursday, 21st May 2020

Dollar to Naira black market rate today Thursday, 21st May 2020

Analysts’ projections

In their various projections, analysts opined that the decline in reserves will continue though the naira is expected to remain stable as the CBN sustain its dollar injection into the foreign exchange market.

According to analysts at Financial Derivatives Company Limited, “The depletion in the external reserves is expected to continue, due to the full resumption of business activities and the CBN’s interventions in the foreign exchange market

“As the CBN resumes its intervention activities in the foreign exchange market, we expect the naira to remain stable in the near term. However, this would be at the expense of the depleting external reserves.

“Nigeria is an import-dependent nation, thus a stable exchange rate would foster economic activities. This would also encourage foreign trade and import of goods with little or no local substitutes.”

Analysts at United Capital Plc similarly stated: “Overall, we expect pressure on the foreign reserves to continue in the near term as apex bank sustains it’s intervene in a bid to stabilize the naira”

On their part, analysts at Cordros Securities stated: “Despite the rate of decline in foreign exchange reserves, which has heightened fears regarding the possibility of currency devaluation, we estimate that the CBN will be able to sustain its naira defence through H1-20, at least.”