Dollar to naira black market rate hits ₦1,570 as demand fluctuates. Check current buying and selling rates for 1 July 2025 in Nigeria

The dollar to naira black market exchange rate has seen a marginal shift today, Tuesday, 1 July 2025, reflecting the continued volatility in Nigeria’s parallel currency market.

Also read: Naira strengthens further against dollar in official market

According to data obtained by Newsrain Nigeria from currency traders in Lagos, the naira opened trading at ₦1,570.00 per dollar in the black market, also known as the parallel market or abokiFx.

This represents a slight depreciation compared to Monday’s closing rate of ₦1,565.00 per dollar. The continued fluctuation is being driven by market forces of demand and supply, with buyers and sellers reacting to economic signals and dollar availability.

As of this morning, the buying rate for the dollar stood at ₦1,565, while the selling rate reached ₦1,570. This gap between buying and selling indicates the margins that traders are applying in response to uncertainties in the forex environment.

Experts warn that the situation is expected to remain unstable unless there is a significant intervention or policy shift by the Central Bank of Nigeria (CBN).

While the black market operates outside the official CBN framework, it remains a major source of foreign currency for businesses, travellers, and importers who are unable to access official channels due to strict rationing or delays.

The CBN’s official exchange rate remains significantly lower than the black market rate. However, limited dollar supply through official windows has driven many market participants to the parallel market, where rates are determined largely by availability and demand.

Traders at the popular Wuse Zone 4 market in Abuja and the Lagos Island trading hub confirmed that the current rate varies slightly depending on location and transaction size.

A dealer who gave his name as Sani said, “We are selling at ₦1,570 this morning, but if dollar becomes scarce later, the price can move up within hours. It depends on how many people are bringing in or looking for dollars.”

Market analysts believe that unless dollar inflows increase or demand is curtailed through fiscal tightening, the naira may continue to face pressure in the coming days.

They cite factors such as dwindling foreign reserves, unstable oil revenue, and speculative activity as contributors to the current situation.

The black market, also referred to as the informal or parallel market, operates without direct regulation by the federal government. As a result, it is subject to rapid fluctuations, often reflecting public sentiment and economic outlook more accurately than official rates.

“The exchange rate changes hourly. It depends on the volume of dollars available and the demand. This means you can buy or sell one dollar at a certain rate, and the price can change within hours,” noted a currency analyst in Lagos.

The dollar to naira black market rate has become a key indicator for investors and everyday Nigerians alike. With food prices, fuel, and imported goods directly tied to forex costs, any significant shift in the exchange rate has a ripple effect across the economy.

While the government continues to encourage transactions through official banks and Bureau De Change (BDC) operators, the black market remains the most accessible and responsive platform for many Nigerians seeking foreign currency.

For now, stakeholders are watching to see whether any monetary or fiscal policies will be announced to stabilise the naira and narrow the gap between official and black market rates.

Also read: Naira Slumps As Oil Dips After Israel Iran Ceasefire

Until then, today’s figures provide a snapshot of the ongoing dynamics in Nigeria’s foreign exchange landscape.