Business Hilights

Tracking Nigeria's Headline Business News Online

CBN MPC meeting

CBN remains unstoppable in sustaining foreign exchange liquidity—Okoroafor

Ad 2
Ad 3

Contrary to the advice of the International Monetary Fund (IMF), the Central Bank of Nigeria (CBN) on Sunday reiterated its determination to sustain the provision of foreign exchange with a view to ensuring liquidity in the market and enhance accessibility and affordability for genuine end users.

Experts had expected the apex bank to effect two of the key reformist ideas given in an advisory format last week Thursday which include lifting ban on forex access to 41items which had apparently collapsed import activities since the order was announced.

Another position of the IMF is that the CBN should try to criminalise BDC to end parallel exchange regime.

CBN’s acting Director, Corporate Communications, Mr. Isaac Okorafor in a statement said the bank wants to disabuse the notion by market speculators that it wouldn’t be able to sustain its forex intervention.

He said that the bank would again, early this week, inject more foreign exchange into the market, leading to a further weakening of the dollar.

“This is in addition to the further increase in the sale of dollars to the Bureau de change operators from 8,000 dollars to 10,000 dollars per week,’’ he said

Okorafor warned commercial banks and other dealers to desist from sabotaging the efforts aimed at making life easier for foreign exchange end users.

According to Okorafor, the CBN had received complaints from customers over frustrations in getting foreign exchange for invisible items like tuition fee, medicals, personal and basic travel allowance.

The Bank urged the general public to report any bank that failed to meet customers’ needs after due documentation.

It once again reiterated its determination to deal with any official or institution found to be sabotaging the operations of foreign exchange market in whatever guise.

It would be recalled that the Naira closed at N394 to a dollar on Friday, which translated to 10 per cent depreciation of what was recorded earlier in the week.

The depreciation was attributed to the alleged hoarding of forex by banks rather than selling to genuine customers.

Industry pundits are upbeat that with the twice weekly sale to BDCs up to 20,000 dollars, the Naira is likely to appreciate as soon as possible.


Business Hilights is an online news channel conceptualized and structured to report and track on a daily basis; latest developments in critical business sectors to serve as a one stop news gateway for governments, foreign and indigenous investors.