Foreign reserves rises by $1.4bn in 1month

08.Aug.2014

Chima Nwokoji - Lagos

Nigeria’s foreign exchange reserves rose by $1.436 billion to $39.333 billion between July 4, 2014, and August 5, 2014 representing an increase of 3.65 percent over $37.897 billion recorded in July this year.

According to latest data on external sector developments, the foreign reserves rose to $40.20 billion as at July 18, 2014, up by $2.89 billion or 7.74 per cent from $37.31 billion at end-June 2014.

The Central Bank of Nigeria (CBN) had on June 23, 2014 raised the minimum capital requirement for BDC operators from N10million to N35 million.

It also raised mandatory caution fee from 10,000 dollars to N35million, bringing the total requirement to N70 million.

It followed this up with slashing of dollar sales to Bureau De Change (BDC) operators since July by 70 per cent from $50,000 per week to $15,000.

While some financial experts attributed the increase in foreign reserves to the recent clampdown on BDC operators, the apex bank agrees that the increase was due to the drop in drawdowns in CBN’s programme of defending the local currency.

The Bank added that the reserves had steadily grown in the last two months due to increased accretion and moderation in the rate of depletion.

However, the naira has remained stable at around N161-N162 to the dollar on the interbank market and N155.75 on the official window on the back of support from dollar sales by some oil companies and offshore investors buying local debt.

As the deadline for recapitalization of BDCs elapsed on July 31, the apex regulator insists that modifications to the guidelines on the regulation of Bureaux de Change in Nigeria are aimed at conserving the country’s foreign reserves, among other objectives.

This position was made known by the CBN Governor, Mr Godwin Emefiele, during an interactive session with the House of Representatives Committee on Banking and Currency

http://www.tribune.com.ng/news/news-headlines/item/12820-foreign-reserves-rises-by-1-4bn-in-1month

Excess Crude Account Rises To $4.05 billion

http://thenationonlineng.net/new/eca-swells-to-4-05b/

ngona: All those shouting when that mallam was remove should see now that he was just ranting and not doing any good job as a CBN governor. He was know good news for this nation. No wonder people from some quarters called him the BOKO BOYS sponsor.

eaglechild: So the mallam was clueless all along.

Evergreeen123: Our foreign reserve and excess crude account has risen yet president jonathan wants to borrow a $ 1billion loan.

Trut:
...

Alishachris:

you mean now you can now lie and manifacture figures like okonjo is doing? Economy is growing yet things keep getting harder for the poor! hlthe cost of living keep increasing! And if I hear that dollar has been relatively stable, I will paint your face with patrick sawyers ash!

Sincere9gerian:
I think he allowed himself to be distracted by the PDP versus APC politics. He was more like an APC chieftain

Evergreeen123: Dont mind that a55licker

our economy is improving, our foreign reserve is rising yet goodluck jonathan still wants to borrow $ 1billion loan.

Who dey deceive who?

Evergreeen123: Our foreign reserve and excess crude account has risen yet president jonathan wants to borrow a $ 1billion loan.

Eldavido1:

There is nothing wrong with borrowing as long as the money is use for what is meant for. As reach as the USA is, the have the highest debt in the world. And the still do borrow. We can only insist on the money being judiciously use.