By Omodele Adigun
The Central Bank of Nigeria (CBN), yesterday, announced bids for retail auction by authorized dealers in the inter-bank foreign exchange market, following its intervention in other segments of the market on Monday, to the tune of $195 million.
Making the disclosure in Abuja, acting Director, Corporate Communications, Mr. Isaac Okorafor, said that banks were expected to submit requests made by their customers to the CBN, adding that the results of the bids for retail auction would be released in the coming days.
Recalled that the apexbank in its last mediation in the market, injected the sum of $195 million into various segments of the inter-bank foreign exchange market, noting that the move was in continuation of its drive to ensure liquidity and stability in the foreign exchange market.
At the Bank’s intervention on Monday, authorized dealers in the wholesale window were offered the sum of $100 million. The Bank also allocated the sum of $50 million to the Small and Medium Enterprises (SMEs) window, while it allocated the sum of $45 million for invisibles such as Basic Travel Allowance, tuition and medical bills.
Okorafor had disclosed on Monday that the objective of the bank’s intervention was to strengthen the international value of the Naira, while also ensuring accessibility to forex by customers requiring it for genuine purposes.
Meanwhile, the Naira continued to maintain its stability in the Bureau de Change (BDCs) segment across major cities of Nigeria, closing at an average of N360 to the United States dollar on Wednesday.
The Naira on Wednesday appreciated marginally against the dollar at the parallel market.The Nigerian currency traded at N365 to a dollar, stronger than N366 its closing rate on Tuesday, while the pound sterling and the Euro exchanged at N468 and N412, respectively.
At the Bureau De Change (BDC) window, the Naira closed at N363 to a dollar, while the pound sterling and the Euro traded at N465 and N414, respectively.
Trading at the official interbank market saw the naira close at N305.50, while the pound sterling and the Euro traded at N395.59 and N347.38, respectively.
The naira also extended gains at the import/export window as it closed at N365 to the dollar. Traders expressed confidence in the ability of the Central Bank of Nigeria (CBN) to stabilise the market through its interventions.