Naira gains at I&E forex window as CBN injects $210m
by HOPE MOSES-ASHIKE
February 12, 2018 | 6:51 pm| | | Start Conversation
The nation’s currency on Monday appreciated against the US dollar at the investors and exporter’s foreign exchange window after the Central Bank of Nigeria (CBN) injected a total of 210 million at the inter-bank foreign exchange market.
After trading on the same day, naira closed at N360.10k per dollar, gaining N0.17k over N360.27k traded on Friday last week at the window, data from FMDQ show.
However, activity at the interbank foreign exchange market remained low, with quotes ranging between N305.40/US$ and N306.40/US$, according a report by FSDH.
The foreign exchange rate at the interbank market opened at N305.40/305.90 and closed at N305.90/306.40, with a high of N305.90/306.40 and a low of N305.40/305.90 to the US$.
In its determination to meet the customers’ needs in the sundry segments of the market, the CBN offered $100million to authorized dealers in the wholesale segment of the market, while the Small and Medium Enterprises (SMEs) segment got the sum of $55 million, according to figures obtained from the Bank on Monday, February 12 2018. The figures also indicated that customers needing foreign exchange for invisibles such as tuition fees, medical payments and Basic Travel Allowance (BTA), among others, were also allocated the sum of $55 million.
The Bank’s acting Director, Corporate Communications Department (CCD), Isaac Okorafor, assured Nigerians that the Bank will continue to intervene in the interbank foreign exchange market, in line with its pledge to sustain liquidity in the market and maintain stability. According to Okorafor, the CBN will not renege on its promise to manage the forex with a view to reducing the country’s import bills and halting depletion of its foreign reserves.
It will be recalled that last Friday, February 9, 2018, the Central Bank of Nigeria (CBN) had again intervened in the Retail Secondary Market Intervention Sales (SMIS) to the tune of $325.64 million to cater for requests in the airlines, agricultural, petroleum products and raw materials and machinery sectors.
Meanwhile, the naira continued its stability in the forex market, exchanging at an average of N361/$1 in the BDC segment of the market on Monday, February 12, 2018.
At the Money and Fixed Income Securities Market, the FSDH report revealed that The 30-Day, 90-Day and 180-Day NIBOR decreased to 15.52 percent,16.22 percent and 17.66 percent, respectively
The Nigerian Treasury Bills (NTBs) rates increased by an average of 10 basis points, the report stated. There was some recovery in the bonds market today following the bearish trend experienced in the previous week. Overall, prices closed about 15 kobo higher than the previous week’s closing level.
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