Tuesday, November 30

Tag: Forex

Naira’s free fall continues, now exchanging between N562 and N570 for 1$
News

Naira’s free fall continues, now exchanging between N562 and N570 for 1$

The Nigerian Naira hit a new time low on Wednesday September 15, as it is now exchanging between N562 and N570 for 1$ in parallel markets. Though data recorded on the FMDQ securities exchange window where forex is officially traded, showed that the naira closed at N412.06 per $1 at the official window on Wednesday September 15, the same rate it exchanged on Tuesday September 14, walk-in customers exchanged between N562 to N567 for $1. Similarly, checks in Kano, Kaduna and Lagos showed that the prices fluctuated between N564 and N570/1$. Some BDCs confirmed huge demand for forex at the moment with some of the operators disclosing that most of the demands were from SMEs that were having difficulty accessing forex from banks. The forex turnover remained unchanged with $175.10 milli...
CBN explains why Naira depreciates against US Dollar
News

CBN explains why Naira depreciates against US Dollar

The Central Bank of Nigeria (CBN) has explained why there is recent sharp depreciation of Naira against the United States Dollar. Responding to questions from members of the House of Representatives Committee on Finance during the 2022-2024 MTEF/FSP stakeholders interactive session on Monday August 16, CBN Deputy Governor, Corporate Services, Edward Adamu blamed the depreciation on COVID-19 pandemic, shortage in foreign exchange supply and others. Adamu who disclosed that COVID-19 pandemic had a devastating effect on the country’s economy and reduced the availability of foreign exchange, added that crude oil sales which is the major source of forex for the country, dropped drastically last year. He said;   “We have proceeds from the s...
Report Banks Hoarding FOREX, CBN Tells Nigerians
Business

Report Banks Hoarding FOREX, CBN Tells Nigerians

In view of the lingering foreign exchange scarcity in the country, the Central Bank of Nigeria has urged Nigerians not to panic, saying there is enough forex for business owners, travelers and parents with students abroad to meet their obligations. CBN Governor, Godwin Emefiele, stated this on Tuesday at the 278th MPC Press Briefing in Abuja. He also said at least $80m are disbursed to banks on a weekly basis to enable Nigerians meet their forex responsibilities. He, therefore, charged Nigerians to report any bank withholding forex to a special call centre of the apex bank. The PUNCH had reported that the lingering foreign exchange scarcity in Nigeria was taking a heavy toll on foreign tuition payment, as many parents and guardians groan over difficulty in paying their children...
Naira Slumps Further, Exchanges For 473/$
Business

Naira Slumps Further, Exchanges For 473/$

The naira suffered further setback at the parallel market and Investors and Exporters forex window on Tuesday. According to figures obtained from Bureau De Change operators, the naira exchanged to the dollar for 473/$ at the parallel market. It had earlier gained in recent times after it closed the year 2020 at 467/$. At the I&E window, the naira fell by 0.17 per cent to close at 394/$ on Tuesday. It reached a low of 401 at the I&E window at the close of 2020. The Central Bank of Nigeria however maintained the official exchange rate at N379/$ on its website. The Association of Bureaux De Change Operators of Nigeria recently appealed to the CBN to make BDCs payout agents for diaspora remittances. The President, ABCON, Alhaji Aminu Gwadabe, said the apex bank...
Dollar Sells For N445 As Forex Scarcity Persists
Business

Dollar Sells For N445 As Forex Scarcity Persists

The dollar exchanged for N445 in the parallel market on Monday due to scarcity and shrinking liquidity in the forex market. The extension of the ban placed on flights in the country by the Federal Government, as part of efforts to curtail the spread of coronavirus, further affected the access to forex by the bureau de change operators. The President, Association of Bureax De Change Operators of Nigeria, Alhaji Aminu Gwadabe, said, “The extension of airport lockdown as well as sale of forex to the BDCs pending when air travels resume has impacted the naira negatively from N425/$ to $445/$ in the parallel market. “However, the assurances of the CBN governor to foreign investors on ease of exit have helped to flatten the curve at N445/$ without any sign of further depreciation at...
We Have Enough FOREX, CBN Tells Investors
Business

We Have Enough FOREX, CBN Tells Investors

The Governor of the Central Bank of Nigeria, Godwin Emefiele, has told investors not to panic, saying the CBN has enough foreign exchange to meet repatriation. He also assured them of the security of their investments in the country despite dwindling revenue from the sale of crude oil globally. A statement on Sunday from the CBN quoted Emefiele as saying that “investors interested in repatriating their funds from the country were guaranteed to get their money, notwithstanding the drop in the revenue from crude oil.” He said the CBN had put in place policies to ensure an orderly exit for those that might be interested in doing so. He, however, urged investors to be patient as such repatriations were processed owing to the CBN’s policy of orderly exit of investments. Recalling a si...
Buhari’s CBN Policies May Drag Nigerian Economy Into Crisis – Fitch
Politics

Buhari’s CBN Policies May Drag Nigerian Economy Into Crisis – Fitch

Fitch, a credit ratings international organisation has disclosed that the Central bank of Nigeria (CBN) under President Muhammadu Buhari might drag the Nigerian economy in crisis due to mismatch in economic policy management. In the latest report released by Fitch, titled Nigeria’s Unconventional Policies Aggravate External Vulnerability, the organisation stated that the CBN’s recent attempt to boost economic activity through giving incentives to banks’ lending had clashed with the goal of maintaining a stable exchange rate, and this is not good for the economy. Uncoordinated policies: Fitch noted that the CBN’s policy moves to reconcile competing goals through unconventional macroeconomic management and weaknesses in policy settings were raising medium-term vulnerabilities to sh...
Buhari’s Food Importation Ban Could Drag The Nigerian Economy Into Misery – Bamidele Samuel Adesoji
Politics

Buhari’s Food Importation Ban Could Drag The Nigerian Economy Into Misery – Bamidele Samuel Adesoji

President Muhammadu Buhari gave a new directive to the Central Bank of Nigeria (CBN) to stop providing FOREX for food importation. According to the President, the directive was given to improve agricultural production and attain full food security in Nigeria. The President reportedly said, “The Central Bank of Nigeria should stop providing foreign exchange for importation of food into the country, with the steady improvement in agricultural production, & attainment of full food security.” Implications of the President’s Statement Note that rice and other items make up the 43 items earlier placed under FOREX restriction. Hence, the latest announcement is apparently a follow-up to the recent move by the CBN to restrict FOREX for milk importation. Following this, If all food...
“Why I Ordered CBN To Stop Forex For Food Import” -Buhari
Politics

“Why I Ordered CBN To Stop Forex For Food Import” -Buhari

President Muhammadu Buhari says the directive to the Central Bank of Nigeria to stop providing foreign exchange for food importation was to improve agricultural production and attain full food security. Malam Garba Shehu, the President’s spokesman in a statement, said Buhari stated this when he hosted All Progressives Congress (APC) governors to Eid-el-Kabir lunch at his country home in Daura, Katsina state on Tuesday. According to the president, the foreign reserve will be used strictly for diversification of the economy and not for encouraging more dependence on foreign food. “Don’t give a cent to anybody to import food into the country,’’ he said. The President noted that some states like Kebbi, Ogun, Lagos, Jigawa, Ebonyi and Kano had taken advantage of the Federal Gove...
Fed Govt, states, local govts share N619.857b
News

Fed Govt, states, local govts share N619.857b

The three tiers of government – federal, states and 774 council areas —yesterday shared N619.857 billion as Federal Allocation for  February. A communiqué issued by the Technical  Sub -Committee of the Federation Accounts Allocation Committee (FAAC) at the end of its February meeting, indicated that the gross statutory revenue received was N478.434 billion.  It was lower than the N505.246 billion received in the previous month by N26.812 billion. Addressing reporters at the end of yesterday’s meeting in Abuja, the Director of Funds in the Office of the Accountant-General of the Federation (OAGF), Muhammed Usman, said: “Federation crude oil export sales increased by about 46 per cent resulting in increased federation revenue from $425.00 million previously to $574.95 million. Shut-in ...
Nigeria’s External Reserves Hit $44bn First Time In 2019
News

Nigeria’s External Reserves Hit $44bn First Time In 2019

For the first time in 2019, the external reserves of Africa’s largest economy, Nigeria, reached $44 billion on Monday, March 25, 2019. Data obtained by Business Post from the website of the Central Bank of Nigeria (CBN) showed that the amount grew to the present level from $43.7 billion on Friday, March 22, 2019, representing 0.69 percent increase. Business Post reports further that the last time the foreign reserves stayed in the $44 billion region was on October 2, 2018. From October 3, 2018, the reserves started declining gradually to even $41 billion at some point in the year. The CBN Governor, Mr Godwin Emefiele, who leaves office in June 2019, has managed the nation’s reserves effectively. He has also regularly used part of the reserves to keep the local currency, ...
CBN Boosts Forex Market With Fresh $210million
News

CBN Boosts Forex Market With Fresh $210million

The Central Bank of Nigeria has injected another sum of $210m into the interbank foreign exchange market. The CBN said the new supply was part of efforts to ensure liquidity in the forex market in order to meet customers’ requests in various segments of the market. According to a statement, the apex bank offered $100m to authorized dealers in the wholesale segment of the market, while the Small and Medium Enterprises segment received the sum of $55m. It said customers requiring forex for invisible such as tuition fees, medical payments, and basic travel allowance were also allocated the sum of $55m. The Acting Director, Corporate Communications Department, CBN, Mr. Isaac Okorafor, reassured the public that the bank would continue to intervene in the interbank forex market in ...
Zimbabwe To Arrest Forex Traders, Seize Banknotes – Finance Minister
News

Zimbabwe To Arrest Forex Traders, Seize Banknotes – Finance Minister

Zimbabwean police will arrest dealers trading foreign currency on the streets and seize whatever banknotes they have on them, President Robert Mugabe’s government has announced. Finance Minister Patrick Chinamasa said the authorities will freeze the accounts of those doing illicit forex transactions through the banks. Black market “We are taking measures to make sure police are empowered to arrest such people, to seize whatever currencies are involved in the transactions,” Chinamasa said, in comments carried by state ZTV late on Wednesday. “We are going to go further where we establish that the transactions were done through banking accounts the regulations will empower the freezing of those accounts,” he added. A black market trade in scarce foreign currency has resurfaced....
Central Bank’s Forex Injections Boost Confidence In Economy – Analysts
News

Central Bank’s Forex Injections Boost Confidence In Economy – Analysts

As the Central Bank of Nigeria (CBN) continues to show no sign of slowing down in its frequent injections of dollars into the foreign exchange market, analysts at FSDH Merchant Bank have said that the banking watchdog’s strategy has boosted confidence in the nation’s economy. The experts cited the latest Purchasing Managers’ Index (PMI) report that the CBN published for the month of July 2017, which shows, “The Nigerian economy is gathering more momentum for a turnaround”, a development, they attributed mainly to the apex bank’s’s strategy of boosting forex. The analysts stated: “The PMI report shows that the Composite Manufacturing Index (CMI) expanded for the fourth consecutive month in the year 2017 to attain the highest level since July 2014. “The CMI accelerated to 54.1 point...
Naira To Remain Stable As Central Bank’s Interventions Cripple Speculators – Expert
News

Naira To Remain Stable As Central Bank’s Interventions Cripple Speculators – Expert

Alhaji Aminu Gwadabe, President, Association of Bureau De Change Operators of Nigeria (ABCON), said on Thursday that the nation’s currency would remain stable in the months to come as the CBN sustains its interventions. Gwadabe told the News Agency of Nigeria (NAN) in Lagos that the sustained injection of liquidity to the nation’s foreign exchange market had paralysed the activities of speculators. The ABCON chief said that recent trading of the Naira against the dollar has shown that the true value of the Naira hovers between N360 and N365 at the parallel market. The financial expert said that since the apex bank began aggressive intervention at the nation’s foreign exchange market, exchange rate spikes have disappeared into oblivion. According to him, since the apex bank righ...
Naira Closes At 362/Dollar As Central Bank Supplies More Forex
News

Naira Closes At 362/Dollar As Central Bank Supplies More Forex

he naira recorded a marginal gain on Monday, closing at 362 per the United States dollar up from 363 on Sunday. The local currency has been hovering between 363/dollar and 370/dollar as the Central Bank of Nigeria continues to supply foreign exchange into the market. The CBN, in continuation of its drive to ensure liquidity and stability in the foreign exchange market, on Monday injected the total sum of $195m into various segments of the inter-bank foreign exchange market. A breakdown of figures released by the CBN showed that the sum of $100m was offered to authorised dealers in the wholesale window, just as the Small and Medium Enterprises window was allocated the sum of $50m. The Business Travel Allowance/Personal Travel Allowance, tuition and medical bills, among other invisi...
Economist Urge Fed Govt To Fix Oil Sector To Curtail High Demand For Forex
News

Economist Urge Fed Govt To Fix Oil Sector To Curtail High Demand For Forex

An Economist, Mr Titus Okuroumu, has appealed to the Federal Government to urgently fix the challenges in the oil and gas sector to curtail high demand for Foreign Exchange (FOREX). Okuroumu, former Director in the Central Bank of Nigeria (CBN) made the suggestion while speaking with the News Agency of Nigeria on Tuesday in Lagos. He said that the quick disbursement of the capital vote for the resuscitation of the oil and gas sector and it value chain would reduce the economic hardship in the country. According to him, addressing the oil and gas sector is necessary to solve most of the economic difficulties, especially the demand for foreign exchange. “We are all aware that the demand for foreign exchange in the oil and gas sector is huge and if government can reduce it drastic...
Forex: Central Bank Boosts Market With $413.5m
News

Forex: Central Bank Boosts Market With $413.5m

The Central Bank of Nigeria (CBN) has intervened in the inter-bank Foreign Exchange market to the tune of $413.5 million, further underscoring its resolve to guarantee liquidity in the market as well as shore up the international value of the naira. Giving a breakdown of the Bank’s latest round of intervention on Monday, the CBN Acting Director in charge of Corporate Communications, Mr. Isaac Okorafor, disclosed that the regulator offered the sum of $100 million to dealers in the wholesale window, while the Small and Medium Enterprises (SMEs) window was allocated a total of $28 million. The invisibles segment was allocated the sum of $25.5 million to meet the needs of those requiring forex for Business/Personal Travel Allowances, school tuition, medicals, etc. According to Okorafor, ...
Central Bank Opens Forex Window For Airlines, Oil Marketers
News

Central Bank Opens Forex Window For Airlines, Oil Marketers

The Central Bank of Nigeria (CBN) has announced a special market intervention for airline operators, oil marketers, and agricultural businesses to enable them clear a backlog of foreign exchange obligations. In a notice to lenders issued yesterday, the CBN said it planned to settle the bids through a combination of spot and short-term forward deals. However, the apex bank did not specify the maximum amount of dollars it will sell. “Authorised dealers’ accounts with the central bank will be debited in full for the naira equivalent of the dollar bid amount on a spot basis,” the bank said. It could be recalled that in May; the CBN published a list of 36 items for which importers can source foreign exchange (Forex) from the market excluding operators in the airline, oil, and agro-base...
Central Bank Introduces New Forex Rules As Naira Closes At N367 To The Dollar
News

Central Bank Introduces New Forex Rules As Naira Closes At N367 To The Dollar

The Central Bank of Nigeria on Monday introduced new rules into the interbank foreign exchange market. This came barely one week after the naira closed below 370/dollar on the parallel market. The rules were contained in a new circular tagged, “Further liberalisation of the interbank foreign exchange market,’’ and signed by the Director, Financial Markets, Dr. Alvan Ikoku. Among other things, the regular said authorised dealers in the interbank were meant to put only N1 spread on their transactions. It also said that authorised dealers in the forex market could now defease their excess foreign currency trading positions to other authorised dealers in the market without seeking prior approval from the CBN It read in part, “All authorised dealers shall be subject to a maximum ...
CBN Pledges To Sustain Dollar Injection In FX Market
News

CBN Pledges To Sustain Dollar Injection In FX Market

Basking in the euphoria of the near rate convergence achieved in the foreign exchange (forex) market, indications emerged yesterday that the Central Bank of Nigeria (CBN) would sustain its dollar injection in the market this week. The sell side of the naira exchange rate against the dollar appreciated significantly by N12, to close at N363 to the dollar on the parallel market on Friday, as against the N375 to the dollar as was last Thursday. Also, the buy rate of the greenback closed at N369 to the dollar on Friday, stronger than the N382 to the dollar it was the previous day. To this end, a reliable source at the central bank revealed that the Bank was not resting on its oars and remained determined to ensure a convergence between the interbank and Bureau de Change (BDC) rates so...
Dollar Crashes To N368/$1
News

Dollar Crashes To N368/$1

The dollar yesterday crashed to N368/$ in the parallel market, after over three weeks at N382/$, representing N14 appreciation within the period. The exchange rate, which was confirmed by Aminu Gwadabe, president of the Association of Bureaux De Change Operators of Nigeria (ABCON), followed nearly $5 billion sustained intervention by the Central Bank of Nigeria (CBN) in the interbank market since February. He said the effectiveness of the CBN’s dollar injections in the interbank and the stability in the market require that the regulator reviews the rate band for bureaux de change (BDCs) downwards from N360/$ to $340/$. Gwadabe said the naira has remained stable across the board in the near term on increased dollar supply to both the official interbank window and the black market. ...
CBN Injects $482.6m Into Forex Market, Naira Gains
News

CBN Injects $482.6m Into Forex Market, Naira Gains

The Central Bank of Nigeria, CBN, on Tuesday cushion the economy by injecting a total of $482.6 million into the foreign exchange market. According to a statement released by its Acting Director, Corporate Communications, Mr Isaac Okorafor in Abuja, this was part of the measures promised by the apex bank to moderate the Naira's value and sustain forex liquidity. The breakdown of the intervention shows $285.7 million was allocated to the retail Secondary Market Intervention Sales, while $100 million was offered in the Wholesale SMIS auction window. The invisibles segment, consisting of Personal Travel Allowance, medicals, tuition fees and Basic Travel Allowance was allocated $45 million. Speaking further, Okorafor expressed optimism that the CBN's objective to converge exchange ...
Abacha Summoned Me For Making A Female Chief Judge In Lagos –Oyinlola
News

Abacha Summoned Me For Making A Female Chief Judge In Lagos –Oyinlola

Abacha summoned me for making a female chief judge in Lagos –Oyinlola Published May 27, 2017 A former Military Administrator of Lagos State, Prince Olagunsoye Oyinlola, in this interview with a select number of journalists, speaks about his tenure and other issues. Gbenro Adeoye was there You were the Military Administrator of Lagos between December 1993 and August 1996, how did you get that appointment and what was the experience like? It was a military posting that came just immediately after I returned from an operational assignment as the Commander of the Nigerian Contingent to the United Nations Peacekeeping Mission in Somalia from 1992 to the later part of 1993. When I got appointed, it came as a surprise and the bigger surprise was that I got it without any godfather. I ...
CBN Unveils 36 Items Approves For Forex
News

CBN Unveils 36 Items Approves For Forex

The Central Bank of Nigeria (CBN) has come out with 36 items considered valid for foreign exchange access. In a circular dated May 17, 2017, signed by the director, Trade and Exchange Department of CBN, W. D. Gotring, the bank said it was in response to the misconception emanating from the recent circular on items valid for forex allocation, stressing that the 41 items remained banned. But stakeholders affected by the policy have reacted to the bank’s decision. Manufacturers Association of Nigeria (MAN) said the concession by CBN for 36 items now included for foreign exchange would further lift the manufacturing sector out of the present economic doldrums. Reacting to CBN’s list of 36 items valid for access to foreign exchange in the foreign exchange market by the apex bank, the MAN pr...
Nigeria’s Foreign Investment Inflow Drops To $908m
News

Nigeria’s Foreign Investment Inflow Drops To $908m

The Nigerian weak business confidence continued to impede foreign direct investments in the country following the drop in the foreign investment inflow to its second lowest in 10 years. Total Foreign investment recorded in the first quarter of the year stood at $908.27 million, according to the National Bureau of Statistics (NBS). This, represents a decline of $640.61 million or 41.36 percent when compared to the $1.55 billion recorded in the last quarter of 2016. The decline in investment inflow was attributed to the fall in “other investment” and portfolio investments, mainly equity, which plunged from $176.44 million in the last quarter of 2016 to $101.99 million in the first quarter of 2017. Also, loans declined from $917.01 million to $369.28 million, and bonds which recorded $2...
Naira Gains Against Dollar To N375/$
News

Naira Gains Against Dollar To N375/$

The Naira continued to gain against the dollar following the Central Bank of Nigeria (CBN) $457 million intervention on Monday. The local currency on Thursday rose against the U.S dollar to N375 per dollar on the parallel market as the foreign exchange liquidity continued to increase. Investigations revealed that the parallel market rate which most analysts had projected to remain at N385 to a dollar, improved to N375/$. CBN’s Acting Director of Corporate Communications, Isaac Okorafor, had at the weekend reiterated the bank’s commitment to ensuring that there was enough supply of forex to genuine customers in pursuit of rates’ convergence.
Nigeria Among Top Global Investment Destinations For 2018
News

Nigeria Among Top Global Investment Destinations For 2018

Nigeria has been identified as one of the top five countries for growth acceleration for 2018. Other countries in the group include Kuwait, Oman, Kazakhstan and Tunisia. The Global Chief Economist at Renaissance Capital, Charles Robertson, who made this forecast in a report titled: “Africa 2017,” urged investors to take advantage of the opportunities in these countries. “These are some of the markets I think investors should be considering because of the growth acceleration story,” he explained. According to Robertson, Nigeria still has a very positive demography, pointing out that the country’s working age population has been growing at 15 per cent over the past five years. The global analysts observed: “Nigeria’s Ease of Doing Business is presently at 169th in the world. But ...
CBN Injects $388.66m Into Foreign Exchange Market As FCMB Increases Sales
News

CBN Injects $388.66m Into Foreign Exchange Market As FCMB Increases Sales

The Central Bank of Nigeria (CBN) has released an additional sum of $388.66million to ease pressure on the naira, stimulate business activities and make foreign exchange (Forex) accessible to local operators. Confirming the numbers, the Acting Director, Corporate Communications Department at the CBN, Mr. Isaac Okorafor, disclosed that the sum of $87.885million was for spot sales, while $300.8 million was sold as forwards. Mr. Okorafor further explained that the forwards were sold into three tenors of 30, 45 and 60 days respectively. According to him, the Bank sold $100.95 as 30-day forwards; $110.48 million as 45-day forwards and $99.37 as 60-day forwards. Meanwhile, First City Monument Bank (FCMB) has increased its sale of Forex to all customers and members of the public who play in...
Naira Appreciates Against Dollar
News

Naira Appreciates Against Dollar

The Naira on Monday appreciated against the dollar at the parallel market, the News Agency of Nigeria (NAN) reports. The Nigerian currency gained three points to exchange at N388 to the dollar, stronger than N391 it traded on Friday, while the pound sterling and the Euro closed at N495 and N425. At the Bureau De Change (BDC) window, the Naira was sold at N362 to the dollar, while the pound sterling and the Euro closed at N495 and N423. Trading at the interbank market showed that the Naira closed at N305.7, while the pound sterling and the Euro closed at N453.18 and N386.28. Currency traders said the liquidity boost at the FOREX market had forced the naira to appreciate.
Nigeria Breweries To Intensify Local Raw Materials Sourcing For Improved Earning
News

Nigeria Breweries To Intensify Local Raw Materials Sourcing For Improved Earning

To mitigate foreign exchange challenges encountered during the 2016 financial year, Nigerian Breweries Plc, has announced plans to intensify its local sourcing of raw materials as well as seek further improvements in its sorghum value-chain. Besides, the brewer also noted that it would be consolidating its earnings and profitability through improved market penetration with its innovative products, adding that it would carefully assess its price adjustment strategy in ensuring a balance in the management of input costs and price consumers are willing to pay for its products. At a current sourcing level of about 50 per cent of its raw materials locally, the brewer is optimistic of achieving its 60 per cent target before 2020. Speaking to journalists ahead of the firm’s yearly general m...
Naira Plunges To N390 Per Dollar On Parallel Market
News

Naira Plunges To N390 Per Dollar On Parallel Market

The Nigerian Naira plunged against the United States dollar on Monday to its lowest in a week. The local currency which closed at N380 to a U.S. dollar on the parallel market on Friday, slid to N390 on Monday. However, the Naira which has been hovering between N380 and N410 to a dollar in the past two weeks has failed to substantially close the gap between the official and black market rates. Prompting the Central Bank of Nigeria to sell about $3 billion since the intervention began in February. Accordingly, the CBN on Monday offered a fresh $246.2 million to authorised dealers at the Forex auction in the interbank wholesale window –‘the Small and Medium Enterprises and invisibles’ segments. The breakdown shows the sum of $150 million was auctioned at the wholesale window wh...
CBN Injects $280M Into FX Market, Increases Sale To Bdcs
News

CBN Injects $280M Into FX Market, Increases Sale To Bdcs

AS part of its efforts to sustain liquidity in the foreign exchange market, the Central Bank of Nigeria (CBN) has injected $280 million into the market. The apex bank has also announced on Tuesday that it would now sell $20,000 twice a week to licensed bureaux de change, a 100 percent increase from the previous $10,000 twice a week. It also announced the opening of bids for offering $100m wholesale seven to 45 days forwards through the Deposit Money Banks (DMBs). “A breakdown of the intervention shows that invisibles such as basic travel allowance, personal travel allowance, medical bills and tuition received $80 million, while the small and medium enterprises (SMEs) window received $100 million,” the apex bank said in a statement. “Together with the wholesale bid auction, the ...
CBN Opens Special Forex Window For Smes
News

CBN Opens Special Forex Window For Smes

The Central Bank of Nigeria on Monday said it had opened a special foreign exchange window for the Small and Medium Enterprises. The window would enable them to import eligible finished and semi-finished items not exceeding $20,000 for an enterprise per quarter. The Acting Director, Corporate Communications of the CBN, Mr. Isaac Okorafor, who disclosed this in a statement, explained that the apex bank’s special intervention was necessitated by its findings that a large number of the SMEs were being crowded out of the forex space by large firms. Under the special arrangement, he said enterprises with staff strength of between 10 and 199 and asset base of between N5m and N500m would be offered the opportunity to import eligible items within the approved threshold. Meanwhile, the ...
Naira Gains On Fresh Dollar Supply, Now 390/dollar
News

Naira Gains On Fresh Dollar Supply, Now 390/dollar

The naira recorded a gain against the United States dollar on the parallel market on Tuesday, a day after the Central Bank of Nigeria injected $240m into the foreign exchange market. The local unit rose from 395/dollar on Monday to 390/dollar on Tuesday as the new forex supply weighed on the market. The CBN had on Monday released the sum of $90m to meet requests for invisible such as business travel and personal travel allowances, medical and school fees. The apex bank also offered a total of $150m to authorised foreign exchange dealers in the interbank wholesale auction window same day. The development brought to $240m the total amount of forex released by the regulator on Monday. The regulator also adjusted the sale day of forex to Bureau De Change operators to Tuesdays on...
CBN Directs Banks To Pay Cash To Forex Users
News

CBN Directs Banks To Pay Cash To Forex Users

The Central Bank of Nigeria on Monday directed all banks to pay cash over-the-counter to desiring foreign exchange customers. The directive, according to the Acting Director, Corporate Communications Department, CBN, Mr. Isaac Okorafor, was issued to further ease the access of customers to foreign exchange. He said that the apex bank had also released the sum of $240m to meet genuine demands from users of foreign exchange. Out of this amount, he stated that the CBN released the sum of $90m to meet requests for invisibles such as business and personal travel allowances, as well as medical and school fees. He added that the balance of $150m was offered to authorised forex dealers in the interbank wholesale auction window. Okorafor also disclosed that the apex bank had adjusted...
Dollar 2 Crash Further As CBN Reiterate Determination To Sustain Forex Liquidity
News

Dollar 2 Crash Further As CBN Reiterate Determination To Sustain Forex Liquidity

The Central Bank of Nigeria 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. The apex bank’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 o...
‘this Is Why The Naira Fell Despite CBN Intervention’ – ABCON
News

‘this Is Why The Naira Fell Despite CBN Intervention’ – ABCON

The President, Association of Bureau De Change Operators of Nigeria, Alhaji Aminu Gwadabe, has blamed the recent depreciation of naira on the speculators’ onslaught and resistance by the banking industry. Gwadabe said on Saturday in Lagos that the refusal of some banks to sell the invisible such as personal and business travel allowances frustrated naira recovery. The ABCON chief said that the CBN had recently accused the banks of frustrating its policies. He said it was ironical that the naira started losing strength in spite of the CBN’s review of the rates from N375 to N360 to a dollar. According to him, the naira started trading on Monday with a promising outlook for sustained strength against the dollar and other currencies, but it began to fall at the middle of the week. ...
CBN Asks Nigerians To Report Any Bank That Fails To Give Them FOREX
News

CBN Asks Nigerians To Report Any Bank That Fails To Give Them FOREX

In a statement released on its website today, the Central Bank of Nigeria CBN, has asked Nigerians seeking to buy forex for BTA, PTA, medical and school fees but are being frustrated by any bank, to call this number 07002255226 to report such bank. According to the statement, some Bank customers have complained that since the apex bank issued a directive that banks should sell forex at N360/$1 to its customers, some of the banks have refused their request for FOREX, saying they do not have enough foreign exchange. CBN says this is a lie as the banks have been adequately supplied with forex. Read the statement below Information reaching the Central Bank of Nigeria (CBN) reveals that some customers seeking to buy forex for BTA, PTA, medical and school fees are being frustrated by some bank...
APC, A Ruling Party In Opposition – PDP
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APC, A Ruling Party In Opposition – PDP

March 31, 2017 Re: Nigerians Have Not Forgotten The PDP Years Of The Locust…APC, A Ruling Party In Opposition - PDP We read with amusement and utter dismay the APC statement in response to our patriotic assessment of its lackluster performance in the last two years. 2. While we have no time to dwell on the internal leadership issues within the PDP in order not to fulfill the desires and aspirations of the APC, we wish to however remind the ‘ruling Party in opposition’ that Nigerians are also aware of the meddlesomeness of the APC in the current leadership issues in the PDP. 3. It has been two years since the ‘Ruling Party in opposition’ took over power in May 2015 and all the APC has done since assumption of office is complaining and whining, instead of governance and deliverin...
Forex Manipulation: EFCC Invites More Senior CBN Officials
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Forex Manipulation: EFCC Invites More Senior CBN Officials

The Economic and Financial Crimes Commission has invited more senior officials of the Central Bank of Nigeria as part of investigations into an alleged foreign exchange scam and other sharp practices within the apex bank. Reliable sources within the anti - graft agency said the investigators probing the scam believed strongly that the activities of some officials of the bank impacted negatively on the fortunes of the naira and contributed to its drastic slump in recent months. The PUNCH had exclusively reported on Thursday that the EFCC detained and grilled two directors on Wednesday. It was, however, learnt on Thursday that the officials were released late on the same day after writing statements on oath. A reliable source within the agency had earlier assured our reporter that the CBN...
Two CBN Directors Arrested For Forex Manipulation
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Two CBN Directors Arrested For Forex Manipulation

The Economic and Financial Crimes Commission has arrested two directors of the Central Bank of Nigeria for alleged forex manipulation and economic sabotage. Impeccable sources at the EFCC told one of our correspondents on Wednesday that the directors were still in custody as of press time at 7.30pm. It was learnt that the investigation into the CBN officials activities sent shockwaves round the apex bank. The detective said the houses of the directors had been searched while incriminating evidence had been recovered. A source at the EFCC, who wished to remain anonymous said, “We have arrested two directors of the CBN in connection with forex manipulation. We believe that it was the activities of these individuals that contributed to the dollar scarcity and the weakening of the ...
FOREX : Dealers Unable To Pick $100m Offered By CBN
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FOREX : Dealers Unable To Pick $100m Offered By CBN

The Central Bank of Nigeria (CBN) on Friday offered fresh 100 million dollars at the interbank market to meet customers’ demands. However, the News Agency of Nigeria reports that the dealers were only able to pick about 81.35 million dollars. The Acting Director, Corporate Communications, CBN, Mr Isaac Okorafor, in a statement, attributed the inability of authorized dealers to pick up the entire offer of the CBN to increasing dollar supply. He said another reason was the current sense of apprehension among dealers who anticipate a further crash in the rate of the dollar. He reiterated the determination of the Bank to sustain its current interventions in the market. “Those who doubt the capacity of the Bank to sustain the intervention in the FOREX market are beginning to have a change ...
NAIRA WATCH: Panic Grips Forex Dealers As Naira Rises To N385/$
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NAIRA WATCH: Panic Grips Forex Dealers As Naira Rises To N385/$

The Naira Thursday appreciated to N385 per dollar in the Abuja segment of the parallel market, causing panic and confusion among bureaux de change (BDC) operators. Vanguard investigation revealed that though the exchange rate of the Naira in the Lagos segment of the parallel market stabilised between N400 per dollar and N405 per dollar yesterday, the rate in Abuja fell to a record low of N385 per dollar due to increased dollar inflows. Confirming this development to Vanguard, President, Association of Bureaux De Change Operators of Nigeria (ABCON), Alhaji Aminu Gwadabe said that appreciation of the Naira to N385 per dollar in Abuja though a good development is causing panic among BDCs because the CBN presently sells dollars to BDCs at N381 per dollar, and expects them to sell to the ...
Naira To Sell At N415/$ As CBN Sustains Intervention
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Naira To Sell At N415/$ As CBN Sustains Intervention

The naira will trade at N415 to a dollar as the series of intervention by the Central Bank of Nigeria are sustained. The President, Association of Bureau De Change Operators of Nigeria, Alhaji Aminu Gwadabe, on Tuesday in Lagos said that the new Forex policy had eliminated frivolous demand for the dollar. According to him, frivolous demand for dollar has been responsible for the weakness of the naira. The ABCON chief said that CBN’s continued intervention at the Forex market would soon spell doom for speculators and currency hoarders. “Currency speculators and hoarders would suffer more losses as the CBN injects more dollars to the interbank market. “The sustained intervention by the CBN will technically take speculators out of business. “My expectation is that if both vo...
CBN Pumps $195Million To Boost Forex Market, As Naira Firms Up
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CBN Pumps $195Million To Boost Forex Market, As Naira Firms Up

​THE Central Bank of Nigeria on Tuesday sustained the supply of foreign exchange to the market by releasing $195 million. The CBN Acting Director, Corporate Communications, Isaac Okorafor, gave a breakdown of the release. Okorafor said of the amount $150 million was released through wholesale auction. He said that the remaining $45 million was for medicals, tuition, Personal and Business Travel Allowance. Okorafor said the Bank acted promptly and proactively in line with its promise to keep the market liquid enough to meet the needs of genuine requests. He said that banks were becoming saturated with foreign exchange, as most of them were now able to meet demands for foreign exchange within the stipulated time frame. Okoroafor said: “As you can see all the pent-up demand fo...
Banks Seek Buyers As CBN Floods Market With Forex
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Banks Seek Buyers As CBN Floods Market With Forex

Banks are awash with dollars, as the Central Bank of Nigeria (CBN) continues to support the naira. The banks have cleared the backlog of requests for foreign currencies for basic travel allowance, school fees and medicals. A banker told NAN that his bank had so much dollars that its marketers were asked to encourage customers to request for the greenback. The source said that the bank wanted to avoid a situation where it would be forced to return excess Forex to the CBN. Doing so would force the CBN to reduce the quantity of Forex sold to the bank. Another source from First Bank said following the CBN intervention, the bank had succeeded in clearing all pending requests for Forex as far back as September, 2016. Also, a source in Guaranty Trust Bank commended the decision ...
Forex: CBN Pumps Additional $100m Into Market
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Forex: CBN Pumps Additional $100m Into Market

The Central Bank of Nigeria on Tuesday injected another sum of $100m into the interbank foreign exchange market, its acting Director, Corporate Communications, Isaac Okorafor has said. Okorafor said the measure became necessary as part of the initiatives to make Forex easily accessible, thereby crashing demand at the black market. The director made this known to newsmen in Abuja on Tuesday. He said that the measure was to fund the commercial banks with enough Forex to cater for the request of customers and to meet basic travelling allowance, medicals and tuition fees. This fresh injection by the apex bank brings the amount so far pumped into the interbank Forex market within the last two weeks to $1.14bn for both forwards and invisibles. A former Economic Adviser to former P...
CBN New Forex Policy Fails To Excite Foreign Investors
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CBN New Forex Policy Fails To Excite Foreign Investors

While the nation ’ s forex market has seen increased liquidity in recent days on the back of the Central Bank of Nigeria ’ s new policy action, foreign investors are not keen on bringing back capital into the country. Industry experts, including the Chief Executive Officer , Financial Derivatives Company Limited , Bismarck Rewane , say the issue of investor confidence remains unaddressed The CBN had on February 20 said it would provide direct funding to banks to meet the needs of Nigerians for personal and business travels , medical needs and school fees, effective immediately. Although the weekly sale of forex to banks has helped to narrow the spread between the official and parallel exchange rates, pressure remains on the naira. The naira, which posted some gains days after t...

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