Naira gains as CBN lifts Forex market with $254.8m, CNY 35.8m

Motolani Oseni

The Nigerian currency, Naira, appreciated on Thursday at the Investors and Exporters (I&E FX) window by 0.04 per cent to close at N360.29 per US Dollar, even as the Central Bank of Nigeria (CBN) lifted the retail Secondary Market Intervention Sales (SMIS) market with total injections of $254.8million and CNY 34.8million.

The Naira, at the I&E FX window, opened flat at N360.25 to the dollar, traded high at N361.50 before closing at an appreciable rate of N360.29.

At the end of yesterday trading activities, the special FX window, however, recorded total transactions turnover of $265.59 million.

But the local currency at the Bureau de Change (BDC) segment of the foreign exchange market, exchanged for N360 to the dollar, while CNY1 exchanged for N55.

Commenting on the apex bank intervention in the forex market, the CBN spokesperson, Isaac Okorafor, said that the bank injected CNY 34.8million in the spot and short-tenored forwards segment of the inter-bank foreign market deals.

Mr Okorafor said this followed the injection of about $210 million into the wholesale segment of the Inter-Bank Foreign Exchange market by the bank on Tuesday.

He said the intervention, as in previous sales, was to meet requests in the agricultural and raw materials sectors of the economy.

On the other hand, the Chinese Yuan was for Renminbi-denominated Letters of Credit (LCs).

Mr Okorafor said the CBN is pleased with the performance of the Naira against other major international currencies.

He said the stability in the market had continued to attract genuine investors and boost trade in the country.

He assured that the CBN management would remain committed to ensuring that all the sectors of the foreign exchange market enjoyed access to the needed foreign exchange.