Business

Forex: CBN sells $122.671m to 46 dealers

The Central Bank of Nigeria (CBN) has sold the sum of $122,671 million to 46 authorised dealers.

This was disclosed via a statement issued by the CBN Director in charge of Financial Markets, Dr Omolara Duke, on Friday, July 12, 2024.

Duke noted that the move was aimed at promoting stability as well as reducing market volatility in the foreign exchange market.

Duke said $67.5 million of the total sale was sold to 27 authorised dealers, while the sum of $2.5 million was bought from one authorised dealer on July 10.

She stated that the range of the bid for the July 10 sales was between N1,480 and N1,500 to the dollar, while the value date for the payments, going by the settlement cycle of two days, was July 12.

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The CBN official said: “Similarly, on July 11, the sum of 55.171 million dollars was sold to 19 authorised dealers at N1,540 to the dollar.

“The value date for the payments of the spot sale is July 15.”

Duke urged all authorised dealers to ensure that foreign exchange purchases from the CBN were used exclusively for trade-backed transactions, which should be reported within 72 hours.

Duke said the CBN supplied FX to the market to improve liquidity through spot sales to authorised dealers using two-way quotes.

She assured that the CBN would continue to ensure stability in the forex market.

The Star

Segun Ojo

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