See The Price Of Canadian Dollar To Naira Black Market

The Canadian Dollar (CAD) in the foreign exchange market is experiencing significant trading activity. As of today, the ‘Aboki’ rate, a term referring to the informal currency exchange rate offered by street traders, stands at N1,177.967 to one Canadian Dollar.

The black market, operating parallel to the official financial system, reflects the unregulated nature of currency trading in parts of Nigeria.

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This market is largely driven by the supply and demand dynamics of foreign currency, often resulting in rates that diverge from those officially recognized by the Central Bank of Nigeria (CBN).

The allure of potentially better rates in the black market is tempered by the risks associated with its unregulated environment.

Instances of fraud and scams are higher in these markets, prompting caution among individuals and businesses looking to exchange large sums of money.

Despite these risks, the black market remains a significant player in Nigeria’s foreign exchange landscape, often providing liquidity where the formal banking sector falls short.

However, the lack of regulatory oversight leads to price discrepancies, with the Aboki rate for the Canadian Dollar consistently higher than the CBN’s official rate.

The disparity between the official and black market rates can have broad economic implications, affecting everything from individual remittances to large-scale business transactions.

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The current rate of N1,177.967 for one Canadian Dollar in the parallel market illustrates the premium paid for currencies outside the official channels.

The black market rate signifies a substantial cost variance for transactions such as remittances from the Nigerian diaspora in Canada or trade payments to Canadian entities.

For example, 100 Canadian Dollars are exchanged for N117,796.70, while 1,000 Canadian Dollars reach the hefty sum of N1,177,967.00 in the parallel market.