Black Market Dollar (USD) To Naira (NGN) Exchange Rate Today – 25th August 2025
The exchange rate between the United States Dollar (USD) and the Nigerian Naira (NGN) continues to be one of the most closely watched indicators of economic performance in Nigeria. On Monday, 25th August 2025, reports from currency traders in Lagos and other financial hubs show that the Dollar to Naira exchange rate in the black market, also known as the parallel market or Aboki FX, opened with buying at ₦1550 per $1 and selling at ₦1540 per $1.
This comes just a day after Sunday’s closing rates, which hovered around the same range, reflecting ongoing volatility in Nigeria’s forex market.
Black Market Dollar to Naira Exchange Rate – 25th August 2025
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Buying Rate: ₦1550
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Selling Rate: ₦1540
These figures represent what currency dealers and Bureau De Change (BDC) operators are quoting in the open market today. However, it is important to stress that the Central Bank of Nigeria (CBN) does not officially recognize or regulate the black market. The apex bank insists that Nigerians seeking foreign exchange for business, travel, or personal needs must approach commercial banks and other authorized dealers.
CBN Official Dollar to Naira Rate Today
According to figures published by the Central Bank of Nigeria (CBN) on its official rate board, the naira remains slightly stronger than the parallel market rates:
The CBN emphasizes that these official rates are the benchmark for international trade settlements, government transactions, and other formal economic activities.
Why the Black Market Matters
Despite the official stance of the CBN, the black market exchange rate continues to dominate real-life transactions across Nigeria. From importers and business owners to students paying school fees abroad, many Nigerians turn to parallel market dealers due to limited access to dollars at the official rate.
Economic analysts note that the widening gap between the official and black market rates reflects persistent challenges in Nigeria’s forex supply chain. These include:
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Reduced Oil Revenues – Nigeria remains heavily dependent on crude oil exports for foreign exchange earnings. Global oil price fluctuations directly affect the CBN’s dollar reserves.
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High Import Dependency – The country still relies on imported goods, ranging from refined petroleum to food items, which drives up demand for foreign currency.
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Capital Flight and Inflation – Investors often hedge against naira depreciation by holding dollars, further pressuring demand.
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Policy Restrictions – CBN’s forex restrictions on certain imports push many businesses to the black market to meet their needs.
Global and Regional Context
Nigeria’s forex struggles are not isolated. Across Africa, several economies are facing currency depreciation as the US dollar strengthens globally. In Ghana, the cedi has seen sharp losses against the dollar, while in Egypt, the pound remains under pressure due to high import costs and external debt repayments.
According to the International Monetary Fund (IMF), emerging markets with heavy import bills and limited forex reserves are especially vulnerable. Nigeria’s case is compounded by structural challenges, including low non-oil exports and limited foreign direct investment inflows.
The World Bank recently warned that if Nigeria does not diversify its revenue sources and improve investor confidence, exchange rate volatility could persist in the medium term.
Impact on Nigerians
The black market exchange rate affects nearly every Nigerian household. Rising dollar costs translate to higher prices for imported goods, school fees, medical expenses, and even digital subscriptions. For businesses, particularly in manufacturing and retail, the increased cost of raw materials and finished products often leads to inflationary pressures.
A Lagos-based importer told our reporters:
“It’s nearly impossible to get dollars at the official rate. We are forced to buy from the black market, and the cost always ends up being passed to consumers. That’s why prices keep rising in the markets.”
Government Efforts and Market Reforms
The Nigerian government has pledged to unify exchange rates and improve transparency in the forex market. Recent reforms under the CBN’s leadership include:
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Efforts to boost diaspora remittances through official banking channels.
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Measures to attract foreign investment into critical sectors.
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Proposals to support export diversification in agriculture and manufacturing.
However, experts argue that lasting stability will require structural reforms, including reducing import dependency and boosting local production capacity.
Forecast and Outlook
Economists predict that the naira will remain under pressure in the short term as Nigeria navigates both domestic and global economic headwinds. Oil prices, capital inflows, and government fiscal policies will be key determinants in the coming months.
Until then, the black market will likely remain the primary channel through which ordinary Nigerians access dollars, despite CBN warnings.
Final Note
As of Monday, 25th August 2025, the dollar to naira exchange rate in Nigeria’s black market stands at ₦1550/$1 (buying) and ₦1540/$1 (selling), while the CBN maintains an official band around ₦1534–₦1536/$1.
For Nigerians at home and abroad, keeping track of both official and parallel rates remains crucial in planning daily transactions, investments, and remittances.