CBN sells $122.671m to 46 authorised FX dealers

From Adanna Nnamani, Abuja

The Central Bank of Nigeria (CBN) has resumed selling foreign exchange to Bureau De Change (BDC) operators after a four-month break.

The apex bank on Friday, confirmed the sales of $122.67 million in forex to 46 authorised dealers o.

According to a statement signed by Dr. Omolara Duke, the Director overseeing Financial Markets at the Bank, this new release is a step towards enhancing stability and minimizing market fluctuations in the foreign exchange market.

Duke disclosed that out of the total sale, $67.5 million was sold to 27 dealers, and $2.5 million was bought from one authorized dealer on July 10, 2024. The bid range for the sales on July 10, 2024, was ₦1,480.0/US$ to ₦1,500.0/US$, with a value date for payments set for July 12, 2024, based on a two-day settlement cycle.

On July 11, 2024, $55.171 million was sold to 19 authorized dealers at ₦1,540.0/US$, with no FX purchases made. The value date for the spot sale payments is July 15, 2024.

The apex bank urged all authorized dealers to ensure that foreign exchange acquired from the CBN is used solely for trade-backed transactions, which must be reported within 72 hours.

The statement read in part, “The Central Bank of Nigeria has sold the sum of $122,671,000 to 46 authorised dealers in its determination to promote stability and reduce market volatility in the foreign exchange market.”