Despite CBN intervention, Naira plunges to N440/$

Skytrend Consulting Blog

Despite CBN intervention, Naira plunges to N440/$

Femi Adeoya

September 11, 2020

Despite CBN intervention, Naira plunges to N440/$

Even with the intervention of the Nigeria’s Apex Bank, the nation’s Naira plunges to N440 per dollar in the parallel market on Thursday,

Nigeria’s Central bank, the CBN resumes forex sales to the Bureau de Change Operators on Monday and this witnessed a strengthening of the Naira to N420 per dollar.

The naira dropped last week from N480/$ to N420/$, following the Central Bank of Nigeria’s announcement to resume forex sales to the BDCs.

In a circular by the CBN, it stated that, “As part of efforts to enhance accessibility to foreign exchange particularly to travellers following the announcement of limited resumption of international flights by the Honourable Minister of Aviation, commencing with Abuja and Lagos, the Central Bank of Nigeria hereby wishes to inform the general public that gradual sales of foreign exchange to licensed BDC operators will commence with effect from September 07, 2020.

“Consequently, purchase of foreign exchange by BDCs shall be on Mondays and Wednesdays in the first instance.

“The BDCs are to ensure that their accounts with the banks are duly funded with the equivalent naira proceeds on Fridays and Tuesdays accordingly.”

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