Naira remains unchanged at 390/$1, as CBN plans FX injection

The Naira, on Tuesday remained unchained at N390 per dollar rate traded on Monday at the parallel market, even as the Central Bank of Nigeria (CBN) has disclosed its plan to commence announce round of forex injections into the invisible segment of the market.

The local currency, earlier in the morning of yesterday traded between 385 -390 to a dollar at the unofficial market but eventually closed at 390 the same rate it was sold on Monday while the official foreign exchange market was shut due to the May Day holiday.

Although, the local currency appreciated slightly by one point to 491 against the Pound compare to 492 sold on Monday but steady at 420 per Euro at the end of the market last night.

At the official market, the naira remained 305.85 to the dollar, as the interbank market rate sold at 315.38 to a dollar, while exchanged at 407.59 per pound and 344.23 to the Euro.

At the Bureau De Change (BDC) window, the naira was sold at N362 to the Greenberg, while trading at the interbank window there were no changes as the market remained unchanged at N305.85 to the dollar.

Meanwhile, Isaac Okorafor, CBN acting director of corporate communications, told journalists that the proposed action to inject forex in the interbank segment of the market was in line with the commitment of the CBN governor, Godwin Emefiele, to ensure that those who have legitimate need for foreign exchange have guaranteed access to it.

Okorafor said the action was a means of achieving the bank’s mandate of safeguarding the value of the naira., adding that the apex bank is determined to achieve a convergence of the rates in the interbank and Bureau de Change segments.

He added that the apex bank was determined to achieve a convergence of the rates in the interbank and bureau de change segments.

In February, the CBN adjusted its forex policy making forex available for tuition, medical and travel expenses.

Since then, CBN has created a forex window for small and medium enterprises (SMEs) to enable them import eligible finished and semi-finished items not exceeding $20,000 for an enterprise per quarter.

The bank also established a window for investors and exporters to encourage foreign investors in the country’s forex market.

Tony Elumelu, entreprenuer and chairman, United Bank for Africa, said global investors were excited about the forex policies of the CBN.