Autonomous Sources Control Prices of Dollars In Banks, BDCs – CBN

The Central Bank of Nigeria (CBN) says autonomous sources such as exporters and correspondent banks now control the price of dollars in banks and the Bureau de Change (BDC) segment.

The Director, Corporate Communications, Mr Mu’azu Ibrahim, stated this in an interview on Friday in Abuja.

He said although the price of Naira remained stable at N197 to a dollar and N284.1 to a pound sterling at the interbank market, it was hovering at the parallel market.

The News Agency of Nigeria (NAN) reported that Naira changed for N373 to a dollar and N505 to pound sterling on Friday in Abuja.

Ibrahim said customers would also find Forex expensive in the banks or while using their debit cards abroad because the Forex got by banks from the CBN was not sufficient for all transactions.

He explained that for this reason, banks reserved the Forex they got for developmental transactions, especially to manufacturers looking to import necessary materials to aid the real sectors of the economy.

Ibrahim said although the CBN had not put a ban on accessing Forex for school fees or medicals, it was not a priority so banks might use their discretion to allocate or not to allocate Forex for such.

He added that there was no ban or restrictions, but priorities will be given to demand for raw materials, plants and machinery.

On the issue of hike in food prices since the CBN excluded importers of 41 items including rice, processed meat, vegetables, toothpick, among others, from sourcing Forex, Ibrahim said it was only temporary.

Ibrahim said by excluding importation of those items, the CBN is saving the Forex demand on the market and the reserve and, at the same time, boosting local production.

The Director said that the ban of these products, particularly agriculture products have begun to yield positive effects on the economy.

“I was in Ibadan last week and was encouraged by a producer that rose from Cassava farming to processing and that farmer is now producing industrial starch which is in high demand” he said.

Ibrahim said he was happy when the producer said that last year, they were able to record nine billion dollars in exports.

He concluded by advising Nigerians to think Nigeria, act Nigeria and buy Nigeria, by patronise made in Nigeria goods.

http://www.nta.ng/2016/02/19/autonomous-sources-control-prices-of-dollars-in-banks-bdcs-cbn/

BMB where you dey.
Oya NL'anders,wailers come curse your government again oo.

Would it be apologetic to deduce that this post is saying the exchange rate for dollar is 373 to naira is because of scarcity and that we should not be worried,or I shld just safely say we can opt for

#buynigeriatogrownigeria

Cc: Mynd44,lalasticlala
Welldone

Where are the wailers when you need them?

So it means if I am a correspondent bank or exporter i stand a better chance of making more money via roundtrips.

Since business is about making profit why bother to export for development transactions if i can make more from becoming an illegal 'bureau-de-change' operator

The reality on ground is that cbn officials, bank executives and those guys in the forex dept have found a perfect cash cow via this forex restrictions by CBN.

Many people are making easy money from all this.

Y

CBN as confused as Mr President

This is what u get when u r an import dependent economy... We didn't just loose it now, we've lost it since the very day our leaders tasted the crude money! Only God and a good economic strategies can bail us out.

But if I may ask, who'll formulate these need strategies?

farmer99:
in God we trust, barka rana jumat janma duka, emi ose opo re laye. 3rd to comment, thank God

third to comment with that your techno phone ?

Abeg make we hear word!!!! You guys(ApC) are clueless and got nothing to offer!

Story

what is this

Why was school fees not barred from foreign exchange?

[size=14pt] So, where went these forces when GEJ was the president

Or they are just looking for miserable excuses to backup these clueless administration [/size]

in God we trust, barka rana jumat janma duka, emi ose opo re laye. 3rd to comment, thank God

dicefrost:
Why was school fees not barred from foreign exchange?

*clear throat*

k

benedictnsi:
So, where was these forces when GEJ was the president

I tire o

f

But this is no longer getting funny. How do you pay for a service online and get ripped off by your bank?
Yet CBN says naira is still at 199. Who's fooling who?

989900:


GBAM! GBAM!! GBAM!!!

Been screaming the above for the past months now (and that includes some importers too)!

CBN is in on it too.

The mentality of most Nigerians is to make easy money not long-term investments hence the reason for our import dependant economy.

Those importers will ditch machineries for developmental projects asap for easy money from forex.

It's going to reach 1.000! black market is nothing
it's normal for things to get expensive if there is scarcity
The lower the dollars in circulation the higher the exchange rate at parralle market

cbm need to control price mechanism for dollar if not we will see #1000 to $1 in know distance time.

Please this man should tell us the company that exported starch worth $9billion dollars from Ibadan.


Its high time these government officials stop taking us for a ride with bogus figures because they want to sound intelligent

buhari has failed us. We are just moving in circles

We know

The Director said that the ban of these products, particularly agriculture products have begun to yield positive effects on the economy.

“I was in Ibadan last week and was encouraged by a producer that rose from Cassava farming to processing and that farmer is now producing industrial starch which is in high demand” he said.

Ibrahim said he was happy when the producer said that last year, [size=13pt]they were able to record nine billion dollars in exports.[/size]

He concluded by advising Nigerians to think Nigeria, act Nigeria and buy Nigeria, by patronise made in Nigeria goods.

The bolded is how you know that the speaker is lying.
$9 billion....... selling cassava starch and the guy never enter forbes list as the fastest growing billionaire in the world....

There is always 2 sides to a coin. I support buy in Nigeria but my machine part is not made here. 2 months now my business have been grounded

Hmmmm