Meaning of parallel market in English an unofficial market for shares, currencies, etc., which works at the same time as the official market: The offshore currency market can be viewed as a parallel money market. on the parallel market Increased controls would likely spur more activity on the parallel market.
What is the difference between parallel market and black market?
* a black market system, in which restrictions on transactions at the official exchange rate lead to the creation of an illegal market, in which transactions take place at a parallel rate. The term parallel exchange rate refers to the financial rate in a dual system or to the black market rate in a black market system.
What causes a parallel market?
Parallel markets generally develop in conditions of excess demand for a commodity subject to legal restrictions on sale, or to official price ceilings, or both. As a consequence, some of the supply is diverted and sold illegally, at a market price higher than the official price, to satisfy the excess demand.
What is the meaning of parallel in science?
: something that is equal or similar. : any one of the imaginary circles on the surface of the Earth that are parallel to the equator and that are shown as lines on maps.
What is the parallel market in Nigeria?
street market
A parallel market (street market) is characterised by noncompliant behaviour with an institutional set of rules. As part of efforts to prevent further slide of the naira against the dollar, the CBN had stopped the sale of forex to Bureau De Change operators (BDCs).
What is the black market?
A black market is an economic activity that takes place outside government-sanctioned channels. The goods and services offered in a black market can be illegal, meaning their purchase and sale are prohibited by law, or they can be legal but transacted to avoid taxes.
Why is it called the black market?
This illegal trade takes place in secret, or in the dark, hence the name “black market.” Because black-market trade occurs “off the books,” so to speak, it represents a whole sector of a country’s economy that cannot accurately be measured.
What is a parallel example?
Parallel structure (also called parallelism) is the repetition of a chosen grammatical form within a sentence. By making each compared item or idea in your sentence follow the same grammatical pattern, you create a parallel construction. Example Not Parallel: Ellen likes hiking, the rodeo, and to take afternoon naps.
How can I invest in forex in Nigeria?
Get Started with Forex in Nigeria
- Get an online connection. You can get connected to a forex broker through any online device, but it’s usually good to trade primarily from a home office.
- Pick a reputable broker.
- Open your account.
- Fund yourself.
- Install your trading platform.
- Profit.
What is a parallel market in economics?
parallel market. › an unofficial market for shares, currencies, etc., which works at the same time as the official market: The offshore currency market can be viewed as a parallel money market. on the parallel market Increased controls would likely spur more activity on the parallel market.
What is the meaning of parallel imports?
Parallel imports (or gray market goods) refer to branded goods that are imported into a market and sold there without the trademark owner’s consent in that market. The goods have been manufactured by or under license of the brand owner and therefore are not counterfeit, but they may have been formulated or packaged for a particular jurisdiction
Why is the Nigerian parallel market so popular?
Parallel markets flourish in countries with unstable economies or high inflation. Which is why Nigerian parallel market is so popular. Even though naira to dollar exchange rate has been floating since 2016, official exchange rates do not reflect the real market value of naira.
What are the advantages of parallel market currency exchange rates?
A lot of people that earn their wages and salaries in foreign currencies are often dissatisfied with the official currency exchange rates. The parallel market value of the currency is usually more beneficial for people that want to exchange their dollars or euros to the national currency.
