Dollar Crashes in Black Market As CBN's MPC Member Predicts New Exchange Rate by Dec 2025

• The exchange rate of the dollar in the black market has depreciated against the Nigerian currency
• The drop in the black market rate for the dollar now means the naira has moved closer to convergence
• CBN Monetary Policy member has shared his expectations on market performance by the end of the year

Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

The value of the United States dollar against the naira has depreciated in the unofficial foreign exchange markets.

Legit.ng spoke to several Bureau de Change operators, who confirmed that the dollar is now almost selling below N1,500.

Abudulahhi, a BDC trader at Ajao Estate Road in Lagos, told Legit.g that the value of the naira since the start of July has dropped by over N50 in the black market.

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He said:

"The dollar buying rate is N1,518, while the selling rate is N1,530. Previously, the buying rate for a dollar was N1,590.

"The euro current selling rat is at N1,765, and we buy at N1,745. The British pound sterling is selling at N2,100, with a buying rate of N2,070."

Naira exchange rate in the official market

The naira also stays strong against the US dollar in the official Nigerian Foreign Exchange Market (NFEM).

According to data from the CBN on Monday, July 21, 2025, the naira closing exchange rate to the dollar remained at N1,535, the same rate in the previous trading session.

The performance of the naira is driven by foreign exchange (FX) inflows.

BusinessDay reports that foreign exchange (FX) inflows rose significantly to $1.31 billion week-on-week, largely driven by foreign portfolio investor (FPI) participation.

The US dollar exchange in the official and black markets is nearing convergence.

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However, the naira depreciated against the British pound, losing N6.86 to trade at N2,066.94/£1, down from Friday’s rate of N2,060.08/£1.

Similarly, it weakened against the euro by N4.99, settling at N1,790.01/€1 from the previous rate of N1,785.02/€1.

Here is the latest exchange rates published by the CBN

Based on the CBN’s published rates, here is a breakdown of the naira’s performance against other foreign currencies in the NAFEM market.

• CFA: N2.71
• Chinese Yuan (Renminbi): N213.54
• Danish Krona: N239.79
• Euro: N1,790.01
• Japanese Yen: N10.40
• Saudi Riyal: N408.53
• South African Rand: N86.41
• Swiss Franc: N1,918.80
• British Pound Sterling: N2,066.94

CBN MPC member predicts new exchange rate

Earlier, Legit.ng reported that Murtala Sagagi, a member of the Central Bank of Nigeria’s (CBN) Monetary Policy Committee (MPC), has projected that the naira would appreciate to N1,450 per US dollar by the end of 2025.

He stated this in a communique released on the Central Bank of Nigeria’s website for the MPC’s May meeting.

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He explained that the efforts of the monetary and fiscal authorities will help stabilise the value of the Nigerian currency in the foreign exchange markets.

Source: Legit.ng