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 Central Bank of Nigeria is planning to sell shorter-dated dollar forwards to inject liquidity into the official market and try to support the naira.

The local currency weakened on both the official and black markets. The naira fell to 328.50 on the official market but later gained some ground to close at 306.15 after the CBN intervened, Reuters reported.

However, the local currency closed at 405/dollar on the black market.

In a statement on Monday, the Acting Director, Corporate Communications, Mr. Isaac Okorafor, said, “In the weeks ahead the (central bank) will sustain its intervention through the sale of foreign exchange to all segments of the market.

“The bank will sell short-tenured forwards of seven-day to 30-day maturity to meet demand of manufacturers and all other foreign exchange users.

“These significant injections of foreign exchange into the market should reassure all foreign exchange users of our determination to continue to meet all legitimate FX demand in the market while striving to achieve exchange rate stability in the market.”

On Monday, traders said the bank would auction $100m to be settled between one week and 30 days, as against 60-day contracts it had written previously.

The CBN had auctioned $418m at N310 on Friday to airlines, agricultural firms, petroleum and raw material importers in addition to $350m it sold last week to individuals with certain foreign expenses.

The CBN has been battling naira volatility brought on by low oil prices, which has plunged the economy into a recession.

The multiple exchange policy has masked the pressure the currency is under and made it difficult to attract inflows as investors struggle to price naira assets, Reuters reports quoting analysts.

Last week, the International Monetary Fund said the naira was overvalued by around 10 to 20 per cent, and called for changes to Nigeria’s exchange rate policy.

http://investorsking.com/cbn-opens-special-forex-window-for-smes/

The more easier it became to access the dollar the better it goes for us.
We are moving forward.

So this makes it the .......forex window in one economy?




Fill in the gap with correct answer (20 marks)


A, 2
B, 12
C.7
D. 9
E. None of the above



CBN is just as confused as the presidency and I believe we are on auto pilot on every aspect of the this nation

CBN
CONFUSED BANK OF NIGERIA

Another new forex window cos the ones we have are not crazy and confusing enough ba? !! Bravo CBN,

You cannot continue to do something same way and expect a different result, it's common sense people!! Gosh!!!

°˚˚˚°ºнaĦaнaº°˚˚˚°º​

Cbn should create my own personal fx window and open it for me.
Because it seems window manufacturing and creating is cbn new job now

This is a good move to boost the economy as SMEs makes an economy to tick.

Good

Fine one

I fear for Nigeria Economy by 2019. Nigeria is moving 2 steps forward and 5 steps backward. God will help us

Pls, I nid to know how this forex works..

Good development. Enemies of state right now

Lol

I wonder where all these gonna lead to....
This is just another surface scratching thingy...

That's good. I do hope it will have a positive effect on the economy.

Hmmmm

If dollar is made accessible even to the common man, why won't Naira gain value. CBN please spread the dollars.

Since the profit maargin of bank was reduced on fx sales the naira started losing value, the banks may be involved in the current downward trend

Another avenue for fraud & corrupt practices has been opened by the CBN.

Expect politicians & senior civil servants to swamp the so-called 'window' looking for forex for luxury items/overseas holidays and also for speculation purposes

If Efe get sense make him just use that 25m play 3+odd
DORTMUND V MONACO
JUVE V BARCA
G.G and over 2.5
Nigga would be 75m richer
----
Based on UCL logistics

they just keep saying but were are nt feeling the changes at all damn

these ones and policies that wont help anyone ke

Emefiele would be remembered for turning the Nigerian forex market into a labrat for unconventional and unorthodox market experiment.

If only we have a regime that knew better

https://www.youtube.com/watch?v=4BaAeFZ6MAU

This is a country always with dishonest governments.

During abacha time many people with connections became extremely rich from the double exchange rate.

Likewise during this time. The government friends would have easy access to the cbn dollars, while the masses suffer.

Based on the past, it will still be manipulated.

What needed to be done is bounce back the economy by energized it, and remove the fraudulent exchange rate.

gboyegazike:

https://www.youtube.com/watch?v=4BaAeFZ6MAU

Fantastic