Exchange Rate Canadian Dollar To Naira Black Market
Introduction
The exchange rate of the Canadian dollar to Naira on the black market has been a topic of concern for many Nigerians. The black market is an unofficial market where foreign currencies are bought and sold without government regulations. It is known for its high exchange rates, which are usually higher than the official exchange rates.
Factors Affecting the Exchange Rate
Several factors affect the exchange rate of the Canadian dollar to Naira on the black market. These factors include inflation, political instability, government policies, and economic growth. When inflation is high, the value of the Naira decreases, and the exchange rate of the Canadian dollar to Naira on the black market increases.
Current Exchange Rate
As of the time of writing this article, the exchange rate of the Canadian dollar to Naira on the black market is around 325 Naira per Canadian dollar. This is higher than the official exchange rate of around 305 Naira per Canadian dollar.
Impact on the Economy
The high exchange rate of the Canadian dollar to Naira on the black market has a significant impact on the Nigerian economy. It makes imports more expensive, which can lead to inflation and reduce the purchasing power of Nigerians. It also makes it difficult for Nigerian businesses to compete with foreign businesses.
Government Intervention
The Nigerian government has taken several measures to control the exchange rate of the Canadian dollar to Naira on the black market. One of these measures is the introduction of the Investors' and Exporters' (I&E) window, which allows foreign investors to buy and sell foreign currencies at a market-determined rate.
Conclusion
The exchange rate of the Canadian dollar to Naira on the black market is a significant concern for many Nigerians. The high exchange rate has a significant impact on the Nigerian economy and makes it difficult for Nigerian businesses to compete with foreign businesses. The Nigerian government has taken measures to control the exchange rate, but more needs to be done to ensure that the exchange rate is stable and beneficial to Nigerians.