SOME OF THE BANKS ARE: FIRSTBANK, ZENITH, UBA, GTB

Others are Access, Diamond, FCMB, Fidelity

As banks begin to settle into the dynamics of the flexible foreign exchange regime, which will take effect from Monday, the Central Bank of Nigeria, CBN, is set to name the lead players in the foreign exchange market today.

The lead players would be known as Foreign Exchange Primary Dealers, FXPD. Though CBN’s guidelines indicated that about eight or 10 banks would be registered as FXPD, investigations showed that only about four banks are fully qualified, considering their audited financial positions as at end of 2015 and first quarter of 2016.

The apex bank would consider shareholders funds, liquidity ratios and volume of foreign currency assets of banks in arriving at top 10 that would be registered as FXPDs. Additional requirements may include capital adequacy ratios and historical volume of bids recorded in the CBN weekly forex market regime due to be phased out today. FirstBank, Zenith, UBA, GTB qualify for FXPD The four banks that have fully met the criteria are FirstBank of Nigeria Limited, Zenith Bank Plc, United Bank for Africa Plc and Guaranty Trust Bank Plc.

Further analysis of the top 10 banks in the country, going by CBN’s criteria, shows that about four others may have also qualified with additional four close to meeting the benchmark. The banks are Access Bank Plc, Diamond Bank Plc, FCMB Plc, Fidelity Bank Plc, which have some of the key requirements as at end of 2015 and are expected to have qualified by the first quarter of 2016.

Access Bank, GTB, FirstBank, Zenith and UBA have been leading in volume of bids and allocation of foreign exchange from the CBN weekly foreign exchange trading since last year. Industry observers believe that other banks expected to jostle for the ninth and tenth positions should CBN decide to move up the list, include Stanbic IBTC Bank Plc, Skye Bank Plc and Sterling Bank Plc, but their financial positions could not be ascertained due to non-availability of their financial reports as at end of 2015 and first quarter of 2016.

Also, Ecobank Nigeria is expected to make the top 10 but their financial reports were US dollar denominated and could not be immediately translated into Naira due to the transitional exchange rate as at today. While announcing the new foreign exchange regime two days ago, CBN had indicated a two-level trading structure where the apex bank would deal on wholesale basis with some banks that would in turn transact with other banks to be known as non-primary dealers, and other dealers at lower retail volume.

In this connection CBN stated: “To improve the dynamics of the market, the apex bank will introduce Foreign Exchange Primary Dealers (FXPD), who would be registered with the CBN to deal directly with the apex bank for large trade sizes on a two-way quotes basis “These primary dealers shall operate with other dealers in the inter-bank market, among other obligations that will be stipulated in the Foreign Exchange Primary Dealers (FXPD) Guidelines.

“There will be no predetermined spread on foreign exchange spot transactions executed through the CBN intervention with primary dealers, while all foreign exchange spot purchased by the authorized dealers are transferable in the inter-bank foreign exchange market.”


http://www.financialwatchngr.com/2016/06/17/cbn-set-name-lead-players-foreign-exchange-market-today/

awesome

OK

Okay

I used to complain when $1 was N150. I'd purchase something online for $100 and I'd be charged 15k. But now it's double the amount. Chai. The good ol' days.

ok make i go CBN weda my name go show

And after naming them Tomatoes and other foodstuffs will become cheaper E be like CBN and all their workers dey mad. Wetin concern hungry Nigerians with foreign exchange Market Mtcheew

I think this new policy will be the very first one from this present administration with very wide acceptance.. even from oppositions.


I am Bracing up for a Better Tomorrow.... God bless Nigeria

I am so happy that they did this... The economy can now begin to recover.

Nonsense...

They already failed.

VocalWalls:
Nonsense...

Not true.

What is not true? Did you read the CBN release?

tbaba1234:
I am so happy that they did this... The economy can now begin to recover.

we just want it to go back to the time of GEJ

Those are the only four banks in Nigeria anyway

I hope this policy is aided to ease the suffering of the masses or just another political goof

Let's watch and see what happens

where WEMA bank?

tbaba1234:


What is not true? Did you read the CBN release?

It doesn't make anything easy for the masses. So it's all crap. They can go ahead to explain whatever they want to on paper.

When it's time, banks will still be banks.

'The Four Horsemen' comes to mind.

goodvision12:
Today is my birthday pls wish me well

i will not devalue hahahahaha joker

WEMA Bank!

My banks made it. Yet to understand how the whole of this translate into a better life for Nigerians. If it's a good policy why haven't we implemented it since.?

miky:


we just want it to go back to the time of GEJ

We did not float the Naira during the time of GEJ... We wasted billions defending it.

We have been forced to float it by economic realities.

Something is missing.

Where is the name of Saraki's bank here?

Wetin be the bank name sef?

Nice idea

This new policy had better work

They should drop the price of Naira to dollar

ok watin concern me?

my business is with those zombies that think

a doctor working without licence or degree should sacked, paraded like the criminal he is. while president buhari should sit in aso rock without certificate as enshrined in the constitution.

If ur bank is not mentioned
Then ur money is in problem

godunia:
My banks made it. Yet to understand how the whole of this translate into a better life for Nigerians. If it's a good policy why haven't we implemented it since.?

Government was not bold enough. There were trying to micro-manage the Naira.

By floating the Naira, The market will be given a free hand to determine the Naira's real value. Investors will be encouraged to put in their money.

Great idea hope it works out

The day Buhari returns, he can even order to wipe out the changes CBN is making now;

and Buhari shall return to his old and unworkable method of fixing of Naira value to the Dollar.

Buhari is an Economic illiterate; all Buhari seems to understand about Nigeria's economy is oil revenues pouring into Nigeria's coffers.

Buhari has sat on top of managing cheap cash from crude oil most of his adult life in Nigeria's government circle;

managing cheap cash from crude oil is about the only Economics Buhari understands;

else, how could Buhari promise Nigerians during the election campaign that he would make one Naira equal to a Dollar?

May God give our present leaders the wisdom to lead.