CBN commences regular foreign exchange sales to bridge demand gap

The Central Bank of Nigeria (CBN) says it has commenced regular sale of foreign exchange (fx) through authorised dealer banks and licensed Bureaux De Change (BDCs) to bridge gap.

The Director, Financial Markets Department, CBN, Ms Omolara Duke, said this in a statement on Friday in Abuja.

Duke said that recent movements in fx market were largely driven by demand pressure from corporate entities and summer season uptik.

She said that such fx supply was in line with the price stability mandate of the CBN, as well as its commitment to ensure a well functioning and liquid market.

She said that the apex bank would continue to support various segments of the official markets with liquidity over the next few weeks.

“In line with the above, the CBN, on Thursday and Friday, sold a total sum of 106.5 million dollars to 29 authorised dealer banks between an exchange rate range of N1, 498 to one dollar.

“In addition, it bought 9.5 million dollars from four authorised dealer banks at rates between N1,510 to one dollar and N1,550 to one dollar,” she said.

She said that CBN would continue to closely monitor compliance with existing trading rules and regulations by authorised dealer banks to promote ethical conduct and support the drive to achieve fx market stability.

She urged the general public to direct their fx demand to their banks and BDC operators in accordance with prevailing market regulations.