Business
CBN restores calm in forex market.
The efforts of the Central Bank of Nigeria (CBN) aimed at ensuring stability in the foreign exchange market may have started yielding results as the market is now awash with liquidity surfeit.
Indications of excessive liquidity in the market emerged on Thursday last week when operators could only pick a little over $39 million out of the $100 million offered for bid by the apex bank.
According to market analysts, with this development, the Naira is set to firm up against major currencies like the Dollar and pound sterling during the week.
It will be recalled that the Central Bank of Nigeria last week opened a special window for to enable Small and Medium Enterprises (SMEs) to access forex for the importation of eligible finished and semi-finished items not exceeding $20,000 for an enterprise per quarter.
That was in addition to the special intervention in the Bureau De Change (BDC) segment of the foreign exchange market which resulted in each operator accessing $20,000 as against the earlier stipulated $10,000 per week.
Isaac Okorafor, the CBN spokesman explained that the Bank’s special interventions were necessitated by its findings that a large number of SMEs were being crowded out of the forex space by large firms and also service genuine demand for invincible like tuition fees, medical a and personal/basic travel allowance.
-
Oil and Gas1 day agoNUPRC vows not to approve divestments that doesn’t meet considerations
-
Oil and Gas1 day agoIran eases Strait of Hormuz transit rules amid oil shock
-
Finance1 day agoCardoso seeks collaboration to check cross‑border financial risks
-
Economy1 day agoNigeria to launch trade platform at ports as part of reform push
-
Finance1 day agoCourt nullifies CBN’s regulatory intervention in Union Bank in 2024, rules it acted beyond its powers
-
Oil and Gas1 day agoCourt orders forfeiture of $13m linked to Aisha Achimugu’s firm
-
Oil and Gas1 day agoOil falls as reports of 15-point proposal spurs ceasefire hopes