CBN Strengthens FOREX Market With $210m

The Central Bank of Nigeria (CBN) on Monday released the sum of $210 million into different segments of the inter-bank Foreign Exchange Market.

The development, which comes hours after the CBN commenced its last Monetary Policy Committee (MPC) meeting for 2017, is part of the apex Bank’s weekly intervention to sustain liquidity in the Foreign Exchange Market.

Isaac Okorafor, the CBN’s Acting Director in charge of Corporate Communications, who confirmed the figures, said the interventions were in the Wholesale, Small and Medium Enterprises (SMEs) and invisibles windows.

According to Okorafor, the Bank offered the total sum of $100million to the wholesale segment, while the SMEs segment received the sum of $55 million.

The sum of $55 million was allocated to tuition fees, medical payments and Basic Travel Allowance (BTA), Okorafor said.

He explained that the releases were aimed at boosting liquidity, trade and ease of remittances for legitimate personal commitments.

Okorafor said the Bank was pleased with the state of the market, noting that the continued intervention by the CBN in the inter-bank forex market had largely checked unwholesome activities of currency speculators.

He assured that the apex Bank will not relent in 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.

It will be recalled that the CBN last week intervened in the various segments of the Forex market with the sum of $195 million.

Meanwhile, the Naira maintained its steady rate against major currencies around the globe, exchanging for N360/$1 in the BDC segment of the market.