Friday, November 22

FOREX: CBN enhances market with $210m

By Christel Odili

The Central Bank of Nigeria (CBN) on Tuesday, announced the injection of another $210,000,000 to boost liquidity in the inter-bank Foreign Exchange Market.

 

Disclosing this in Abuja, the Acting Director, Corporate Communications Department, CBN, Mr. Isaac Okorafor said the sum of $100million was offered to the wholesale segment, while the Small and Medium Enterprises (SMEs) segment got an allocation of $55 million. The invisibles segment (i.e. tuition fees, medical payments and Basic Travel Allowance (BTA), among others) was also allocated $55 million.

Mr. Okorafor said the releases were part of effort aimed at boosting liquidity in the forex market, facilitating trade and easing remittances for legitimate personal commitments.

While attributing the long spell of calm in the market to the interventions of the CBN and the cooperation of all stakeholders, Okorafor said the convergence of rates between the interbank market and the Bureau de Change segments, had all but converged with customers able to buy forex from either market at not more than N362 to a dollar.

In spite of the development, he stressed that the CBN would continue in its monitoring of the market in order to ensure that authorised dealers abide by the extant rules.

Meanwhile, the naira maintained its steady rate against the United States Dollar, exchanging for N361/$1 in the BDC segment of the market on Tuesday, November 28, 2017.

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