The Central Bank of Nigeria’s Investors and Exporters Foreign Exchange window has traded about $3.83bn since it was established on April 24, it has been learnt.

Foreign exchange traders said this on Monday as the naira traded more strongly on the window than on the black market, Reuters reported.

The window, where buyers and sellers are free to agree an exchange rate, was introduced by the CBN in April to try to attract foreign investors into the country and boost the supply of dollars.

Traders said $407m were traded last week compared with $354.8m in the previous week, indicating a gradual return in investors’ confidence to the forex market.

“We have seen continuous improvement in dollar inflow into the market in recent time from offshore investors and this has also reflected in the volume of transactions at the equity market,” one currency trader told Reuters.

Before the window was introduced, the CBN was the main supplier of hard currency on the interbank forex market, after foreign investors fled naira assets in the wake of an oil price slump in 2014.

A CBN spokesman last month said the bank was, on average, responsible for less than 30 per cent of trading on the investor market.

At the forex window, market regulator FMDQ OTC Securities Exchange quoted the naira at 364.56 to the dollar on Monday, versus 367 to the dollar on the black market.

Commercial banks quoted the naira at 306/dollar on Monday, the level they have been quoting for around the last two weeks

Meanwhile, the CBN on Monday injected a total of $142.5m into the inter-bank foreign exchange, a few days after intervening in the retail segment of the market with the sum of $254.3m.

A breakdown of the Monday’s intervention indicated that the bank offered the sum of $100m to dealers in the wholesale segment, while it allocated the sum of $23m to the Small and Medium Enterprises segment.

Those requiring foreign exchange for invisibles such as tuition fees, medical payments and Basic Travel Allowance received $19.5m.

The CBN spokesperson, Mr. Isaac Okorafor, said the CBN would continue to carry out its regular mediation in the market so as to keep the market liquid and guarantee the international value of the naira in line with its mandate.

http://investorsking.com/trade-hits-3-8bn-ie-window-cbn-sells-142m/ mynd44

How far CBN? Exchange rates still very high, lift the $100 limits on Naira MasterCard, Bank selling dollars even higher than black market rates! What's happening?

smartty68:
How far CBN? Exchange rates still very high, lift the $100 limits on Naira MasterCard, Bank selling dollars even higher than black market rates! What's happening?

That is something the CBN will have to address but as it is exchange rate will continue to improve as more investors jump on the I&E platform to trade their currencies.

However, the activities of the banks need to be checked, if not most of their third quarter's profit will come from forex like we've seen in the fourth quarter of 2016 and further hurt current progress as looters that don't care about extravagant rates would exploit the system at the expense of the masses.

The amazing thing

Nigeria is a fraud and illegal entity where government steals from the citizen and turn the proceeds
to the privileged few

okay

[color=#000000][/color]I STILL BELIEVE THAT EXCHANGE RATE WILL GO LOWER IF CBN CAN LIFT THE 100 DOLLARS LIMIT ON CARDS BECAUSE THIS WILL REDUCE DOLLAR DEMAND. WHAT IS HAPPENING? 2019 IS CLOSE YET NOTHING GOOD HAS COME OUT OF APC. NIGERIANS SHOULD LEARN FROM THE PAST MISTAKE THAT IT IS TIME TO GIVE THE YOUTHS OPPORTUNITY.

smartty68:
How far CBN? Exchange rates still very high, lift the $100 limits on Naira MasterCard, Bank selling dollars even higher than black market rates! What's happening?

GTB has increased their limits. Expect more banks to follow suit soon.

-Lord

LordAdam16:


GTB has increased their limits. Expect more banks to follow suit soon.

-Lord

Yeah but the problem now is the exorbitant exchange rates banks offers

Osinbade is working. We would have been way better off by now if not for the inflamatory statements earlier in this administration.

Only where there is peace can a nation thrive.

Since osi came in, things are not getting any worse than it already is. That's all we asked of the oga presido since he came to better our lives... Instead he kept plunging people into hardship. Hope he has been given citizenship over there, he should get well and remain there

Story Story

The main issue is the parallel market(aka black market) rate!