CBN pumps $210million into Forex market to stabilize pressure on naira

The Central Bank of Nigeria, CBN, has pumped $210 million into the foreign exchange market to ensure stability and reduce pressure on the naira against other foreign currencies especially the dollar.The CBN, in a statement issued on Tuesday, said the new supply was part of efforts to ensure liquidity in the forex market in order to meet customers’ requests in various segments of the market.

According to the statement, the apex bank offered $100m to authorised dealers in the wholesale segment of the market, while the Small and Medium Enterprises segment received the sum of $55m.

It said customers requiring forex for invisibles such as tuition fees, medical payments and basic travel allowance were also allocated the sum of $55m.

The Acting Director, Corporate Communications Department, CBN, Mr Isaac Okorafor, reassured the public that the bank would continue to intervene in the interbank forex market in line with its quest to sustain liquidity in the market and maintain stability.

Last Friday, the CBN intervened to the tune of $318.73m to cater for requests in the retail segment of the forex market.

The naira continued its stability in the forex market, exchanging at an average of N360 to the dollar in the BDC segment of the market on Tuesday, and stood at 305.750/$ in the official market.