To raw materials importers - #199 To toothpicks importers - #310 alibaba, aliexpress costumers take note.

Can you make this kind of noise during gej? This is what is called change bicos somehow the voice of the populace now counts

GTB CHEATED Me of over 66000 from a single transaction of $1320 last December..complained to both CBN n GTB all to no avail

wirinet:
I say it is not as simple as that. During soludo time what was the average price of crude? what was our import bill? what was our expenditure (especially recurrent). During soludo, the OBJ government was able to pay our debt to the paris club, meet the dollar demands of Nigeria at the bi-weekly dollar dutch auction sales and save enough money in our foreign reserve and sovereign wealth fund. He even had the luxury of hosting two expensive world events - Commonwealth Games and Commonwealth Heads of Governments. So because the OBJ government was relatively "prudent", soludo had enough dollars to bridge the gap between the parallel and official markets.

But now the situation has reversed. Crude is selling at $27 per barrel, our taste for imported products has skyrocketed, our recurrent expenditure has ballooned, and there are loan obligations to pay. Dont forget that corruption within the government agencies has also risen. So where do you want Emefiele to get the dollars to bridge the Gap between the markets?

All what you wrote is true, but it still doesn't change the fact that if the official exchange rate is devalued, the parallel rate would move towards it with only a possible N10 difference.
---
Our situation is not caused by Emefiele. He has only inherited the outcome of years of mismanagement. Yet he has to, somehow, act to prevent it from getting worse.
---
Whether we like it or not, there are genuine needs which the CBN has pushed away due to its demand management of Forex. However, as these demand get dollars at the ridiculous exchange rate in the black market, sooner or later, prices of items in the market will begin to reflect these imbalances.

onatisi:

So u mean banks buy dollars from the black market and then use the dollars to pay for their customers forex transactions. Okay why then do cbn sell forex to banks?

The forex you presume is sold to banks is not to them actually, they are sold to end users albeit through the banks. Such forex are only for approved transactions.

By the way I did not write that the banks buy forex through the black market, they do interbank deals as well as purchasing from their customers who have forex inflows but need naira.

mohlanforex:
Be Inform, Gtbank Master Card Charge Me 198 To Dollar. Try Gtbank Naira Master Card And Give Us Feedback. I Use It To Fund My Forex And Binary Account.

Please can you tell me how recent the transaction u made with gtb naira MasterCard is, that's is after the exchange rate rose to 305?

ican2020:
That is naija for you.
When GEJ was there, we called him weakling.
Today, we have GMB a fighter that has failed to call this corporate organization to order.
I am already searching for a leader that will protect our interest, because these past and present leaders have failed us BIG TIME.

You just had to be a bastard dis evening...

I sware it's realy affecting guys over here too, imagind a fone i wana order on jumia cost 15232 last wk, checked it dz mawin it has increase to 30210. almost double!

Bevista:
I am not sure the CBN sells dollars directly to banks arbitrarily.
---
The dollars allocated to DMBs are based on customer requirements which the banks will have to show evidence to the CBN. Such requirements include approved LCs, BTA, Medical bills, school fees, etc. So, all dollars given to banks by CBN already have pre-determined purposes.
---
The bank is most likely sourcing extra dollars from independent & unconventional sources and will transfer this cost to the customer. If they do not do what they are doing now, then you may not even be able to use your cards for international payments because the banks won't have dollars to settle those transactions. Maybe then you will be begging to pay N350.
---
The major problem I see here is when the banks are buying dollars from customers. They pay less than N197 and yet will sell that same dollars to another customer at N285. As long as the huge divergence exist between the official and black market rates, this arbitrage will continue.
---
What the CBN needs to do is to devalue the official rate to anywhere between N230 - N250 and that will narrow the gap between the two markets. That might bring the black market rate to around N240 - N260. Pending that, the banks will continue their roundtripping and there's nothing you can do about it. Have you wondered why the CBN is not saying anything about the matter? Or do you think they are not aware?

One bottle of Origin for this guy.

Bevista:
I am not sure the CBN sells dollars directly to banks arbitrarily.
---
The dollars allocated to DMBs are based on customer requirements which the banks will have to show evidence to the CBN. Such requirements include approved LCs, BTA, Medical bills, school fees, etc. So, all dollars given to banks by CBN already have pre-determined purposes.
---
The bank is most likely sourcing extra dollars from independent & unconventional sources and will transfer this cost to the customer. If they do not do what they are doing now, then you may not even be able to use your cards for international payments because the banks won't have dollars to settle those transactions. Maybe then you will be begging to pay N350.
---
The major problem I see here is when the banks are buying dollars from customers. They pay less than N197 and yet will sell that same dollars to another customer at N285. As long as the huge divergence exist between the official and black market rates, this arbitrage will continue.
---
What the CBN needs to do is to devalue the official rate to anywhere between N230 - N250 and that will narrow the gap between the two markets. That might bring the black market rate to around N240 - N260. Pending that, the banks will continue their roundtripping and there's nothing you can do about it. Have you wondered why the CBN is not saying anything about the matter? Or do you think they are not aware?

My brother, most of the issues or suggestions you raised above are true but guess what, they are not the reality. Take for instance, I needed to travel recently to UK and all I wanted from my banker is to sell at least £200 to me since they are not ready to sell to me the normal PTA with a ceiling of about £ 4,000 which the CBN aLlows even after showing them all required documents. You know what, they refused, instead they told me to use my master card on getting to UK. I went to 3 big banks and it is the same story. My fair was that if I get to UK and something goes wrong then I am stranded. Invariably when I used the card I realized the exchange is at the prevailing black market rate. My brother, my happiness is that I was not stranded. The truth is that everything about the FX market in Nigeria is a big fraud for which the CBN can not logically claim ignorance.

[size=20pt]INFACT THIS ISSUE IS SERIOUS, FIRST BANK NIGERIA IS CHARGING ME OVER 4200 NAIRA FOR 10 POUNDS TRANSACTION. THATS OVER 420 NAIRA PER POUND. WHAT BAFFLED ME WAS A REFUND ISSUED BY PAYPAL AND AM SUPPOSE TO GET CREDIT OF 4281 NAIRA, BUT ALAS I WAS CREDITED JUST 3600 NAIRA.[/size]

Agreed the official rate is N197 but the parallel market depends on the forces of demand and supply and also the wickedness of BDC because they can decide not to sell even when CBN sells to them @ N197 causing artificial scarcity. Firstly, the major source of USD or hard currency for FG is through revenue from crude. The revenue from this source has dwindled which ultimately means the reserve of USD with CBN has also reduced and this means CBN needs to prioritise the utilization of scarce but heavily demanded USD. Government has to make purchases in USD like purchase of equipment for prosecution of war, meeting debt commitment and other pressing commitment having at the back of your mind that Naira is worthless outside the shores of Nigeria except countries like Niger, Benin, Ghana and lesser extent cameroon i.e all govt commitment outside the country would be offset using USD. Govt has to prioritize either to sell to BDC and fund citizen desire to use imported items like toothpicks, expensive wines, watches and designer wears. Truth be told, Govt has no USD to continually fund those items earlier mentioned, hence, the decision to stop selling to BDC. To answer your question, if your needs fall within scope of what is approved by CBN, banks would sell to you @ official rate say for your travel ($10000 to be sold @ official rate provided you produce proof). The directive of the govt is not to fund items that are not on approved list and if any citizen chooses to use imported items then go source for USD. Banks are free to charge you any rate once your needs does not fall within confine of approved items.

Teenaira:
My brother, most of the issues or suggestions you raised above are true but guess what, they are not the reality. Take for instance, I needed to travel recently to UK and all I wanted from my banker is to sell at least £200 to me since they are not ready to sell to me the normal PTA with a ceiling of about £ 4,000 which the CBN aLlows even after showing them all required documents. You know what, they refused, instead they told me to use my master card on getting to UK. I went to 3 big banks and it is the same story. My fair was that if I get to UK and something goes wrong then I am stranded. Invariably when I used the card I realized the exchange is at the prevailing black market rate. My brother, my happiness is that I was not stranded. The truth is that everything about the FX market in Nigeria is a big fraud for which the CBN can not logically claim ignorance.

I do not dispute what you just said about your experience with the banks. However, I wouldn't call it fraud. I just think the CBN is not being very open and honest about the situation. The reality is that, due to falling oil price the FX available for CBN to continue supporting all these foreign transactions is limited. But instead of them to say it the way it is, they keep running around in circles.
---
Your experience with the banks is likely not the bank's fault. The banks realized that the CBN was not supplying enough dollars anymore for those qualifying transactions (LCs, BTA, school fees, medical bills, etc) even though the CBN kept telling everyone that it was still supporting them.

ritzyvic1:

Please can you tell me how recent the transaction u made with gtb naira MasterCard is, that's is after the exchange rate rose to 305?

YOU MUST BE LIVING IN THE WILDERNESS. MY FIRST BANK IS GTB AND THEY HAVE BEEN CHARGING ME DOUBLE.

Give a man a gun and he can rob a bank. Give a man a bank and he can rob the world.

wealthprod:
i believe this is a topic we nigeria must treat seriously or else the bank are going to be taking us for a ride.
imagine Cbn selling dollar to the bank at the rate of 199 per dollar while bank in return will charge us at the rate of 301 or 300 per dollar when using your debit card to make transaction online

Nigeria let wake up and take this topic seriously because bank are not BDC but institution and they keep milking us this way
The best solution to this is to cry out and let the Cbn know what is happening so that the bank can be sanction for this

I am sorry @wealthprod, Banks buy from CBN around N197.50 and sell N199. Today's rate at the Bank is still about N199.00.

You want to confirm this assertion, you can walk into any Bank and check the rate at the rate board. However, FX transaction is not open to all products/services but limited to some form of products/services as specified by the CBN.

The N300 rate is at the black market or BDC.

wealthprod:
i believe this is a topic we nigeria must treat seriously or else the bank are going to be taking us for a ride.
imagine Cbn selling dollar to the bank at the rate of 199 per dollar while bank in return will charge us at the rate of 301 or 300 per dollar when using your debit card to make transaction online

Nigeria let wake up and take this topic seriously because bank are not BDC but institution and they keep milking us this way
The best solution to this is to cry out and let the Cbn know what is happening so that the bank can be sanction for this

It's the same thing here in Ghana. Officially the rate is 50.3.. to the naira, but you get 76.... whenever you withdraw in any bank Nigerian bank in Ghana. This makes things difficult for Nigerians in Ghana and beyond

veraponpo:
I do not think banks can do that because they are bound by BOFID/BOFIA. Because of the following reasons:

CBN sells at N197.

Banks do not sell at N301 rather it is BDC that does that.

There is inter-bank rates and that is within N198-201.

It is the parallel market that is selling above N300. There reason is because Nigeria as a country has very poor exporting ability. Our major export is crude oil and there is bad market for it now.

The demand and supply economics theory is working too. Demand for dollar is high and supply is low, therefore price is high.

You know nothing of the subject under discussion bro. You have just shown that you have not made any intl transactions in the last 2 months if ever.
Just stick to what you are well versed in bro.

No vex.

These banks must be fine just like MTN

abe4kom:

You know nothing of the subject under discussion bro. You have just shown that you have not made any intl transactions in the last 2 months if ever.
Just stick to what you are well versed in bro.

No vex.

Take it easy dear, @veraponpo was simply right. I speak out of experience and as a Banker with deep experience in FX transactions.
As at today, I processed School Fess transaction to an Institution in Republic of Ireland. The rate was N199.30.

Bevista:
I am not sure the CBN sells dollars directly to banks arbitrarily.
---
The dollars allocated to DMBs are based on customer requirements which the banks will have to show evidence to the CBN. Such requirements include approved LCs, BTA, Medical bills, school fees, etc. So, all dollars given to banks by CBN already have pre-determined purposes.
---
The bank is most likely sourcing extra dollars from independent & unconventional sources and will transfer this cost to the customer. If they do not do what they are doing now, then you may not even be able to use your cards for international payments because the banks won't have dollars to settle those transactions. Maybe then you will be begging to pay N350.
---
[b]The major problem I see here is when the banks are buying dollars from customers. They pay less than N197 and yet will sell that same dollars to another customer at N285. [/b]As long as the huge divergence exist between the official and black market rates, this arbitrage will continue.
---
What the CBN needs to do is to devalue the official rate to anywhere between N230 - N250 and that will narrow the gap between the two markets. That might bring the black market rate to around N240 - N260. Pending that, the banks will continue their roundtripping and there's nothing you can do about it. Have you wondered why the CBN is not saying anything about the matter? Or do you think they are not aware?

This is the major problem I have with Nigerian banks.

Thieves and crooks.

Loosely speaking, CBN sells dollars for N199 and if you have a legitimate transaction with the use of FORM M or A, that is the rate that you will be charged. Also, if you have a USD credit card and want to settle money spent it can be done at CBN rate.
The issue is people tend to carelessly use a Naira card for USD transactions. Why don't you just get a USD card?

Some banks are yet to commence zero COT. If you have a zenith account. Go and reconfirm

Legal bbank scam. Western union shoul be giving us dollars. Tired of all these legit scams lalely. Govt scam, everywhere sccam

This are issues Nigerian youth ought to stand up to and protest but so sad that they'll prefer to protest for the release of Namudi Kalu, Dasuki, cuffing of Olisah Mesu, praise Fayiose for cutting fish, praise GEJ for keeping shut on important issues, hurl insult on Buhari for visiting countries of common interest.

Una never know anything, soon, we'll be paying for fish with bale of naira.

AdeMoss:
Loosely speaking, CBN sells dollars for N199 and if you have a legitimate transaction with the use of FORM M or A, that is the rate that you will be charged. Also, if you have a USD credit card and want to settle money spent it can be done at CBN rate.
The issue is people tend to carelessly use a Naira card for USD transactions. Why don't you just get a USD card?

how do u fund the dollars card? Buy blackmarket rate of 300 USD the put the dollars in ur usd account? Ok so when u pay with a usd dollar card what will be the bank rate ,blackmarket rate or cbn rate ?

Bevista:
I am not sure the CBN sells dollars directly to banks arbitrarily.
---
The dollars allocated to DMBs are based on customer requirements which the banks will have to show evidence to the CBN. Such requirements include approved LCs, BTA, Medical bills, school fees, etc. So, all dollars given to banks by CBN already have pre-determined purposes.
---
The bank is most likely sourcing extra dollars from independent & unconventional sources and will transfer this cost to the customer. If they do not do what they are doing now, then you may not even be able to use your cards for international payments because the banks won't have dollars to settle those transactions. Maybe then you will be begging to pay N350.
---
The major problem I see here is when the banks are buying dollars from customers. They pay less than N197 and yet will sell that same dollars to another customer at N285. As long as the huge divergence exist between the official and black market rates, this arbitrage will continue.
---
What the CBN needs to do is to devalue the official rate to anywhere between N230 - N250 and that will narrow the gap between the two markets. That might bring the black market rate to around N240 - N260. Pending that, the banks will continue their roundtripping and there's nothing you can do about it. Have you wondered why the CBN is not saying anything about the matter? Or do you think they are not aware?

The CBN is fully aware. They are all in the game of deception together. The monetary system of the world is set up to make the rich richer and poor poorer. They did not set them up for the poor though they claim to be helping the have nots.

The goal: economically enslave the world and compel them to serve the endtime world leader, the apocalyptic beast.

At last one educated person on this thread.

CBN sells to DMBs who come to bid for CBN transactions using CBN instruments (such as FORM A and FORM M) for their customers.

Ignorant people with less than a hundred thousand naira in their accounts are screaming robbery.

If you close your account today, banks wouldn't feel the effect.

Bevista:
I am not sure the CBN sells dollars directly to banks arbitrarily.
---
The dollars allocated to DMBs are based on customer requirements which the banks will have to show evidence to the CBN. Such requirements include approved LCs, BTA, Medical bills, school fees, etc. So, all dollars given to banks by CBN already have pre-determined purposes.
---
The bank is most likely sourcing extra dollars from independent & unconventional sources and will transfer this cost to the customer. If they do not do what they are doing now, then you may not even be able to use your cards for international payments because the banks won't have dollars to settle those transactions. Maybe then you will be begging to pay N350.
---
The major problem I see here is when the banks are buying dollars from customers. They pay less than N197 and yet will sell that same dollars to another customer at N285. As long as the huge divergence exist between the official and black market rates, this arbitrage will continue.
---
What the CBN needs to do is to devalue the official rate to anywhere between N230 - N250 and that will narrow the gap between the two markets. That might bring the black market rate to around N240 - N260. Pending that, the banks will continue their roundtripping and there's nothing you can do about it. Have you wondered why the CBN is not saying anything about the matter? Or do you think they are not aware?

I am sorry bro. You just came here to show us your inept ignorance. Read The Economist more often.

abe4kom:

You know nothing of the subject under discussion bro. You have just shown that you have not made any intl transactions in the last 2 months if ever.
Just stick to what you are well versed in bro.
No vex.

OGA! CBN doesn't finance PTAs and BTAs. The monitor and encourage commercial banks to sell BTAs and PTAs to individuals above 12 years with a valid visa and a ticket to a maximum cap of $2,500

Teenaira:




My brother, most of the issues or suggestions you raised above are true but guess what, they are not the reality. Take for instance, I needed to travel recently to UK and all I wanted from my banker is to sell at least £200 to me since they are not ready to sell to me the normal PTA with a ceiling of about £ 4,000 which the CBN aLlows even after showing them all required documents. You know what, they refused, instead they told me to use my master card on getting to UK. I went to 3 big banks and it is the same story. My fair was that if I get to UK and something goes wrong then I am stranded. Invariably when I used the card I realized the exchange is at the prevailing black market rate. My brother, my happiness is that I was not stranded. The truth is that everything about the FX market in Nigeria is a big fraud for which the CBN can not logically claim ignorance.

coolhamid:
I registered a domain name last week, i was expecting them to deduct 1990 from my account by but the corporate thieves deducted 2500 for the transaction...

Which bank did you use because this rate looks better than what the orange Bank charged from my card

Heamah:
Please is it possible to transfer dollars from one domiciliary account to another person's domiciliary account of same bank within Nigeria without extra charges?

Yes, gt to gt...its free...