Pounds to Naira BDC Black Market Rate Today 13 May 2024

Are you curious about the Pounds to Naira BDC black market and the official rate today, 13 May 2024? OgaPrice is here to keep you updated on exchange rates daily.

The BDC or black market rate for the Pounds to Naira exchange today, 13 May 2024, is 1,810 (NGN) Naira for 1 (GBP)  British Pound.

How much is pounds to Naira in the black market today?

In the black market, which is the unofficial exchange rate, the British pound to Naira is exchanged at the rate of ₦1,810 to £1.

Pounds to Naira buying and selling rate today

Selling Rate: ₦1,840

Buying Rate: ₦1,810

What is the bank rate for pounds to Naira today?

The Interbank exchange rate, the exchange rate in which the banks carry out transactions with British pounds to Naira today, is ₦1,836.33 for £1 (GBP). However, this rate may vary slightly between individual banks.

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

How much is the British Pound to Naira CBN rate Today?

As of today, 13 May 2024, the CBN to Naira exchange rates are:

CBN Buying Rates: ₦1,799.36

CBN Selling Rates: ₦1,799.99

These figures are obtained from the CBN official channel.

How much is 1 naira to 1 pound today?

1 naira is exchanged at ₦1,810 to £1 in the BDC or black markets, and at the official interbank rate, 1 naira is exchanged at₦1,836.33.

100 pounds to naira exchange rate today

100 pounds is exchanged at the rate of ₦181,000 for 100 pounds at the BDC (Parallel market or black market, while at the official interbank rates, 100 pounds is exchanged at ₦183,633.

1000 pounds to naira exchange rate today

1000 pounds is exchanged at ₦1,810,000 in the BDC (Parallel market or black market, and ₦1,836,330 at the interbank official rate.

Quick View of Other Currencies Conversion

Conversion of other currencies at black market/ Parallel market rate in Naira

1 Pound to Naira	₦1,810
1 US Dollar to Naira	₦1466
1 Euro to Naira	₦1,586
1 Canadian Dollar to Naira	₦1,100
1 Australian Dollar to Naira	₦720
1 Rand to Naira	₦65
1 Cedi to Naira	₦80
1 Yuan to Naira	₦125
1 Dirham to Naira	₦300

Factors Influencing Exchange Rates

Currency exchange rates are influenced by several factors, such as economic indicators, geopolitical events, policies implemented by central banks, and opportunities for market speculation.

It is good to have a solid understanding of these elements to forecast currency changes and make well-informed financial decisions accurately.

Factors Influencing the Discrepancy between Official and Black Market Rates

Government Policies

The differences between the official market currency rates and the black market exchange rates can be attributed to the actions of the government, which include capital controls and limits on foreign exchange.

If access to foreign money is restricted, there is a possibility that demand on the underground black market will increase, which may result in higher exchange rates.

Economic Stability

When determining exchange rate differences, the degree of economic stability, or lack thereof, plays a significant effect.

Compared to countries with low inflation rates and solid economic foundations, countries with these characteristics often have smaller disparities between their official and black market rates.

Conversely, countries experiencing economic difficulties could experience more considerable disparities due to the increasing need for hard currency.

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.

Risks of Using the Black Market

Even though it allows for quicker access to dollars, the black market is associated with several significant risks, including the following factors:

Fraud: There is a great potential for encountering dishonest individuals or counterfeit money.

Safety: There are issues regarding safety because transactions on the black market can occasionally take place in locations that are not secure, which raises safety concerns.

Legal Issues: It is a violation of the law to engage in forbidden actions that can result in penalties, especially while patronizing unregistered Bureau de Change (BDC) establishments.

Alternatives to the Black Market

If you would rather not go through the laborious bank process, there are thankfully safer and legal alternatives for currency conversion.

Licensed Bureau de Change:

BDCs are controlled by the Central Bank of Nigeria (CBN) and offer competitive exchange rates. As a result, it is not risky to make use of a licensed BDC.

Peer-to-Peer (P2P) Platforms:

Platforms such as Binance or Patricia create connections between individuals to transfer money, frequently at competitive rates.

Domiciliary Accounts:

Domiciliary accounts allow Nigerians to hold and do business in foreign currencies like the United States Dollar.

Conclusion – Pounds to Naira BDC Black Market Rate Today 13 May 2024

Keeping up to date with the Pounds to Naira exchange rates in the BDC black market, also known as the Aboki rates, the interbank rates, and the CBN rates, is needed to negotiate the complexities of international finance.

Regardless of your level of experience, investing, running a business, or just needing to exchange currencies—knowing the workings of currency markets enables you to make wise choices and reduce financial risks.

Disclaimer: OgaPrice does not fix currency exchange rates. We get exchange rates from official CBN channels, banks, and other public information. Because of the constantly fluctuating nature of exchange rates, checking with your bank or BDC before carrying out any financial transaction is advisable.