FMDQ December fixed income/currency transactions dip to N11.86trn

Transaction turnover in the FMDQ OTC market in the month of December 2017, recorded in the Fixed Income and Currency (FIC) markets for the month of December 2017, a total transaction value of ₦11.86trillion.

The FMDQ OTC monthly market report released Friday showed that the N11.86trn December turnover in the fixed income and currency segment, represents a 20.15 per cent or ₦2.99trn decrease from the value recorded in November 2017.

The figure also showed that year on year (yoy), turnover in the segment dropped by 3.26 per cent or ₦0.39trn as secondary market activities usually decelerate in the last month of the year

The report showed that activities in the Nigerian Treasury bills’ market accounted for 35.25 per cent of total turnover while the Foreign Exchange (FX) market accounted for 33.63 per cent of total turnover.

In the same period, the Money Market (Repurchase Agreements (Repos/Buy-Backs) & Unsecured Placements/Takings) accounted for 24.30 per cent of total market turnover. The three segments contributed 93.10 per cent of total turnover in the FIC markets.

The value of transactions in the FX Market settled at $12.86billion in December, a decrease of 34.72 per cent ($2.22bn) when compared with the value recorded in November ($15.08bn). Liquidity flows via the I&E FX Window equally decreased as total volumes traded for the month settled at $3.84bn, a 14.92 per cent ($0.67bn) decrease from the previous month.

The FMDQ disclosed that “So far, the total volumes traded in the Window stands at $26.21bn since its inception (April 21, 2017). Exchange rates for the Naira traded relatively flat, as the Investors’ & Exporters’ (I&E) FX Window depreciated slightly to close the reporting month at $/₦360.33 from $/₦360.32 at the beginning of the month, whilst also trading at a discount to the Parallel Market, which opened and closed the month at the same rate of $/₦363.00.

Bonny Amadi