Exchange rate Today: Dollar Exchanges at N902 as Forex Scarcity Frustrates GSK Out of Nigeria

-Exchange rate today, naira to dollar exchange rate hits an all-time high at black market

-Scarcity of forex forces GSK out of the Nigerian market

-The black-market controls dollar prices in Nigeria

Data available to ENigeria Newspaper confirms that the naira to dollar exchange rate, today Monday hit an all-time high at the black market.

According to the data, the naira was exchanged at the black market for as low as N902 on Monday, August 7, 2023.

Information obtained from black market traders shows that Nigerians were looking to buy dollars and pay as a high N902 as of 3 pm on Monday.

Also, information displayed on Abokifx shows that street traders are selling the naira at N895 and buying at N888.

The data received from the official trading window on Monday afternoon indicates that the difference between the black and official market rates is still above N100.

Forex Scarcity Frustrates GSK Out of Nigeria

Even as the naira continues to gallop badly at the exchange market, ENigeria Newspaper can report authoritatively that a short supply of forex (dollar) was responsible for the exit of a multi-national pharmaceutical company, GlaxoSmithKline Pharmaceuticals (GSK) Nigeria from the country.

In a statement released by the big pharma company on Thursday, announcing the suspension of its Nigerian operations after evaluating the options for moving to a third-party distribution model for its drugs and consumer healthcare goods.

GSK Nigeria, which has faced increased competition from local companies and imports from India and China, said its half-year sales had dropped to 7.75 billion naira ($9.82 million), from 14.8 billion naira in the same period a year ago.

GSK Nigeria said it is working with advisers to agree next steps and plans to submit a scheme of arrangement to Nigeria’s Securities and Exchange Commission, which if approved will see it return cash to shareholders except its parent GSK.
Meanwhile, data received and analyzed by ENigeria Newspaper exposes a major fact leading to the widely reported exit of GSK. Analysis by our reporter points to the scarcity of forex by the Central Bank of Nigeria (CBN) as the major reason for the exit of GSK from the Nigerian market space.

Speaking on the development, an analyst who spoke to this newspaper, said, “It’s tough getting FX to import. If you are lucky or connected to power, you get about 15% of your FX needs from the official market and 85% from the parallel market. That’s tough.”