Sixteen banks shared in the $230 million foreign exchange (forex) mart by the Central Bank of Nigeria through the forward contract agreement.

This forms part of the fulfillment of the apex bank’s pledge to ensure liquidity in the interbank market under the latest policy announced last week.

Of the 16 financial institutions, 13 are commercial banks, one is a development financing establishment, while two are merchant banks.

An analysis of the auction’s participants showed that nine commercial banks and one merchant got $162.85 million at bid rates ranging from N325/$ to N360/$, while six others got $58.52 million at bid rates between N315/$ and N320/$.

However, the first 10 banks with a total request of $162.85 million in the forwards contract have the maturity date of March 27, 2017, while the other six have a maturity date of April 24, 2017.

Consequently, the parallel market strengthened to N460 per dollar, its highest level in more than three months, following the series of interventions by the apex bank.

Last week, the regulator offered $500 million in 60-day forward contract, but ended up selling $370 million, as some banks could not back up their bids with naira equivalent or provisions.

A sub-Saharan economist for RenCap, Yvonne Mhango, said: “There are rays of light in Nigeria’s outlook…foreign reserves have risen over 20 per cent to $29 billion and a more comfortable CBN has this week announced changes to its foreign exchange policy and injected more dollars into the local market. Since Monday (February 20), the parallel market rate has strengthened,” she said.

Research analyst at FXTM, Lukman Otunuga, said that though Monday’s new foreign exchange policy, which made more dollar available for the few at 20 per cent above the official rate is already easing some pressures, it does little to solve the major problem of multiple exchanges.

According to Otunuga, Nigeria’s five adopted exchanges continue to add to the uncertainty with both firms and investors constantly left confused. The bearish combination of depressed oil prices, foreign exchange scarcity and tepid economic fundamentals continue to expose the Nigerian economy to downside risks.

Analysts at Afrinvest said: “In our view, while the implementation of the revised foreign exchange market guideline has been greeted with much optimism, we do not believe this move can sustainably address the lingering foreign exchange liquidity challenges in the economy without relaxing forex rate peg and review of list of items ineligible for forex transactions in the parallel market.”

http://www.kikiotolu.com/2017/02/cbn-sells-230-million-to-16-banks.html

Lalasticlala Mynd44 seun Dominique

Nice move,.. Nigeria will be great someday..

#GodBlessPmb.

#GodBlessNigeria.

lalasticlala

Good development

God bless Nigeria.

We definitely coming outta recession soon












God bless PYO

How much will the banks sell dollars to ordinary Nigerians ?

Wonderful

Good one

Dollar crashing further is imminent

nice one



please try fix things a bit before the dollard comes back.. thats if he does

Nice development

Why ıs naıraland too serıous dıs mornıng?pls brıng back our tonto nd bbn threads back.

We are gradually moving forward...

If only the cabals will let Nigerians be.

The sudden improvements after Buhari's exit have proven he is a recurring failure and his cabal ain't happy about these developments. They would attempt to spoil it all.

I think Osinbajo is making the right moves in recent times. When Buhari was suppose to travel intra country to consolidate every regions and states with love and bring about proper utilization of all the resources God have blessed us with, he was busy traveling inter country. Now what is the result of all his traveling to many countries for many months. It is not easy to be traveling up and down at old age... See the result on his health. Osinbajo will definitely make a better President if eventually the baton is passed to him. In few wee :-Xks, his moves brings no panic. Well only God knows the best, I don't pray for Buhari's death, but I think he can't continue, so he should handover to a better mind to drive and sail the country to a favorable destination. The pace at which Osinbajo is moving, even if he is not excellent on his performance, his rule won't be a bad one.

God bless Nigeria.

Hacker

Whomever has got JP Morgan contact should kindly inform them they can come back now.

God if OIL output can be increase and stability in Niger delta plus increase in crude oil price... i think nigeria will have good story to tell. but thats only for short time gain . FG need to still block the importation of perishable goods and some other import foods that we can easily produce here .


By the time Dangote start producing fertilizer n increase the production of CEMENT and his 600 PER BARREL OIL REFINERY- I THINK THIS WILL ALL BOOST OUR FOREIGN EARNING AND REDUCING OUR IMPORTATION. I BELIEVE FG ARE WORKING ROUND THE CLOCK TO IMPROVE ON OUR OTHER MINERAL RESOURCES AND LOCAL CONTENT PRODUCTION . IF THEY CAN MAINTAIN THAT MOMENTUM, I SWEAR OUR FOREIGN EXCHANGE WILL BE HUGE AND RIVAL ANY COUNTRY IN THE WORLD. THIS WILL INCREASE OUR STANDARD OF LIVING . ITS NOT ROCKET SCIENCE . ITS JUST COMMITMENT AND EASE OF DOING BUSINESS.

THO I WONT SUPPORT ONLY DANGOTE DOING ALL THESE BUT I THINK THIS SHOULD ONLY BE IN PLACE COS HE IS THE ONLY ONE ON GROUND FOR NOW

Why na wen I wan change my own dollar al ds improvement com dey happen!.

F

Paste your drops.... Add up... 7acb8e10

I See light at the end of the tunnel for Nigeria

Dollar will fall further to N350 soon.

Better days ahead.

God bless Nigeria

Great job

Good news

But the north should come out plain and announce the peaceful passed away of our number-one-man nah instead trying to hold us aground we want to move forward at speed

Good move

osinbanjo my guy

God bless Nigeria

#This is how its suppose to be, dollars should be given to banks and other financial institutions not hidden in their houses.

nice move...

hope we can sustain this

Really Osinbajo is working


just twenty- eight days on the throne, he has done what the king of daura has failed to do in TwO years.


Nigeria will be great again