Euro to Naira BDC Black Market Rate Today 13 May 2024

Are you curious about the Euro to Naira BDC Black Market Rate Today 13 May 2024? OgaPrice is here to keep you updated on exchange rates daily.

The BDC or black market rate for the Euro to Naira exchange today, 13 May 2024, is 1,586.70 naira for 1 euro.

Euro to Naira BDC Black Market Rate Today 13 May 2024

Buying rate: ₦1,586

Selling rate:  ₦1,606

These BDC exchange rates are subject to change at any time due to market forces and other factors, so it is recommended that you always check hourly before making any transactions.

The rates to exchange the euro and the Naira (NGN) are topics that constantly spark conversation in Nigeria.

 Let’s examine the complexities of this relationship, specifically focusing on the unofficial black-market rate.

You may also see: How Much is Dollar to Naira Black Market Rate Today

Black Market/Bureau de Change/Parallel Market Rates For Euro to Naira Today

Information that came from our sources from different BDC at various cities of the Federation shows that the buying rates for Euro to Naira at the black market (BDC) or Aboki rates range from ₦1,586 to ₦1,606 a euro while that of the selling rate is between ₦₦1,606 to ₦1,610 depending on which location you are making the transaction from and how much you are transacting.

In bigger cities like Lagos, Abuja, and Port Harcourt, where there is more pressure on euros, these rates tend to increase slightly compared to smaller cities and towns.

Euro to Naira Interbank Exchange Rate Today

As of today, May 13, 2024, the Euro to Naira interbank exchange rate is approximately N1,606.74 per €1.

Due to market forces, these rates change slightly from one commercial bank to another.

You should check it with your bank before making any foreign currency transaction.

How much is the euro to Naira CBN rate?

As at today May 13, 2024, the CBN exchange rate is N1,549.96 per €1. for buying, while the selling rate of the CBN is N1,550.50 per €1.. These are gotten from the CBN official channel.

Why Does a Black Market Exist?

The Central Bank of Nigeria (CBN) exerts influence over the official exchange rate within a range in the managed float system practiced in Nigeria. This mechanism functions to maintain economic stability.

A difference exists between the official rate and the reality of the market, resulting in the black or parallel market due to some factors, including restricted access to foreign exchange and a high demand for dollars.

People make use of the black market for various reasons:

• Shortage of dollars: Banks and authorized dealers may ration dollar sales due to CBN restrictions, which always creates a shortage of dollars.
• Faster transactions: Black market transactions can be quicker than cumbersome official channels, which always take hours, days, weeks, and, in some cases, months.
• Business needs: Businesses engaged in international trade may seek more competitive rates.

Factors Affecting the Black Market Rate

The black market rate is affected by several factors, including the following:

1. Central Bank of Nigeria (CBN) Intervention: If the CBN injects more dollars into the official market, it can reduce demand in the black market, leading to a lower black market rate.
2. Global Oil Prices: Nigeria’s oil exports are a significant source of dollars. Increasing oil prices strengthens the Naira, which may impact the black market rate.
3. Economic Sentiment: Negative financial news can trigger a flight to safety, increasing the demand for dollars and pushing the black market rate upwards.

Risks of Using the Black Market

There are substantial dangers associated with the black market, even though it provides faster access to dollars:

Fraud:  There is a significant possibility of encountering counterfeit money or con artists.

Concerns Regarding Safety: Transactions on the black market sometimes occur in insecure environments, raising safety concerns.

Legal Issues: engaging in prohibited activities that can result in penalties violates the law, especially patronizing unlicensed Bureau de Change (BDC).

Alternatives to the Black Market

Thankfully, there are safer and legal options for currency exchange if you want to avoid going through the cumbersome process of banks.

Licensed Bureau de Change: BDCs offer competitive rates and are regulated by the CBN. Therefore, it is safe to use a licensed BDC.

Peer-to-Peer (P2P) Platforms: Platforms like Binance or Patricia connect individuals for money transfers, often with competitive rates.

Domiciliary Accounts: Domiciliary accounts allow Nigerians to hold and transact in foreign currencies like USD.

Conclusion

Understanding how the Euro-Naira black market rate works is important for anyone wanting to exchange money in Nigeria. The black market might seem faster, but it comes with significant risks.

It is strongly suggested that you look into legal and safer options such as licensed BDCs, P2P sites, and domiciliary accounts.

Remember that patience and research can keep you from trouble with the law and your money.