Central Bank Sells Another $284.2m, CNY36m

In a bid to sustain dollar liquidity and deepen economic activity, the Central Bank of Nigeria (CBN) sold another $284.2 million to foreign exchange dealers in the secondary market last week.

This was after CNY36 million was offered in the spot and short-tenured forwards segment of the inter-bank foreign market.

Mr Isaac Okorafor, the Director, Corporate Communications Department, CBN, who disclosed the details in Abuja on Friday, said: “The United States dollars-denominated transactions were to meet requests in the agricultural and raw materials sectors, while those in Chinese Yuan were for Renminbi-denominated Letters of Credit.”

Efforts of the central bank at stabilizing the foreign exchange market have started reflecting on the economy as companies that are declaring profit for the second quarter are already attributing their increase in profit to a stable foreign exchange environment.

Okorafor further said the apex bank was satisfied with the Naira stability against the US dollar and the level of success recorded from moderating consumer prices to lower interest rate.

He promised the apex bank will continue to support businesses with access to affordable forex and ensure stability across forex segments.

Meanwhile, the US dollar exchanged for N357 at the Bureau de Change (BDC), while CNY1 was exchanged at N46 on Friday.

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