CBN approves $350m for interbank market

The Central Bank of Nigeria (CBN) yesterday approved another $350m to be injected into the interbank foreign exchange market through its special wholesale intervention forward sales.

This would bring the total volume of intervention to $850m and is expected to ease the foreign exchange pressure on Nigerians seeking to carry out international transactions.

Sources in the interbank sector confirmed that the CBN’s move is to ensure foreign exchange liquidity and guarantee access to the United States dollar.

According to a source who pleaded anonymity, there is currently a liquidity glut in the market, as banks are now sending their marketing officers to scout for customers that genuinely require foreign exchange for the purposes identified for intervention.

The CBN spokesman and Acting Director, Corporate Communications Department, Isaac Okorafor who confirmed the intervention, said the apex bank was committed to easing the pressure on Nigerians who genuinely require forex to meet personal commitments.

Mr. Okorafor said that reports monitored on daily basis at the bank indicated that the bold move was having the desired impact in the interbank foreign exchange market. He expressed optimism that the trend would be sustained for the benefit of all Nigerians. The CBN in the past two weeks injected over $500m into the foreign exchange market.