CBN Sells $55 million to Banks to Boost FX Supply
With more than $55 million channelled to banks by the Central Bank (CBN), the naira still lost about N5 per US dollar in the official window by eligible FX market players due to an imbalance between demand and supply.
This suggests a deeper than expected US dollar demand and supply gap in the official window, with direct impacts on local banks ability to service Bureau de Change (BDC) operators with $25,000 weekly FX requests.
The exchange rate closed at N1,532 to a greenback, a country that is facing pressures against its trading pairs in the global forex market. MarketForces Africa reported that the British pound and Euro strengthened against the US dollar amidst tariff combat and U.S. economic recession concerns.
In the parallel FX market, the exchange rate was priced at N1,580 which resulted in a widening spread for speculative traders. Analysts reported that the gap between official and parallel market rates narrowed to 3.07% from 3.40% at the beginning of the week. Northern Nigeria Flour Mills Climbs by 10% in Fresh Rally
