CBN Auctions $418m To Some Sectors To Boost Forex Liquidity

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Godwin Emefiele, CBN Governor
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United States 3,012,436
Cases: 3,012,436
Deaths: 132,753
Recovered: 1,303,535
Active: 1,576,148
Brazil 1,613,351
Cases: 1,613,351
Deaths: 65,120
Recovered: 978,615
Active: 569,616
India 720,346
Cases: 720,346
Deaths: 20,174
Recovered: 440,150
Active: 260,022
Russia 687,862
Cases: 687,862
Deaths: 10,296
Recovered: 454,329
Active: 223,237
Peru 302,718
Cases: 302,718
Deaths: 10,589
Recovered: 193,957
Active: 98,172
Chile 298,557
Cases: 298,557
Deaths: 6,384
Recovered: 264,371
Active: 27,802
Spain 297,625
Cases: 297,625
Deaths: 28,385
Recovered:
Active: 269,240
United Kingdom 285,768
Cases: 285,768
Deaths: 44,236
Recovered:
Active: 241,532
Mexico 256,848
Cases: 256,848
Deaths: 30,639
Recovered: 155,604
Active: 70,605
Iran 243,051
Cases: 243,051
Deaths: 11,731
Recovered: 204,083
Active: 27,237
Italy 241,819
Cases: 241,819
Deaths: 34,869
Recovered: 192,241
Active: 14,709
Pakistan 231,818
Cases: 231,818
Deaths: 4,762
Recovered: 131,649
Active: 95,407
Saudi Arabia 213,716
Cases: 213,716
Deaths: 1,968
Recovered: 149,634
Active: 62,114
Turkey 206,844
Cases: 206,844
Deaths: 5,241
Recovered: 182,995
Active: 18,608
Germany 197,979
Cases: 197,979
Deaths: 9,088
Recovered: 182,200
Active: 6,691
South Africa 196,750
Cases: 196,750
Deaths: 3,199
Recovered: 93,315
Active: 100,236
France 168,335
Cases: 168,335
Deaths: 29,920
Recovered: 77,308
Active: 61,107
Bangladesh 165,618
Cases: 165,618
Deaths: 2,096
Recovered: 76,149
Active: 87,373
Colombia 117,110
Cases: 117,110
Deaths: 4,064
Recovered: 47,881
Active: 65,165
Canada 105,764
Cases: 105,764
Deaths: 8,687
Recovered: 69,431
Active: 27,646
Qatar 100,345
Cases: 100,345
Deaths: 133
Recovered: 93,898
Active: 6,314
China 83,557
Cases: 83,557
Deaths: 4,634
Recovered: 78,518
Active: 405
Argentina 77,815
Cases: 77,815
Deaths: 1,523
Recovered: 28,531
Active: 47,761
Egypt 75,253
Cases: 75,253
Deaths: 3,343
Recovered: 20,726
Active: 51,184
Sweden 71,419
Cases: 71,419
Deaths: 5,420
Recovered:
Active: 65,999
Indonesia 64,958
Cases: 64,958
Deaths: 3,241
Recovered: 29,919
Active: 31,798
Belarus 63,804
Cases: 63,804
Deaths: 429
Recovered: 51,120
Active: 12,255
Iraq 62,275
Cases: 62,275
Deaths: 2,567
Recovered: 34,741
Active: 24,967
Belgium 62,016
Cases: 62,016
Deaths: 9,771
Recovered: 17,091
Active: 35,154
Ecuador 61,958
Cases: 61,958
Deaths: 4,781
Recovered: 28,722
Active: 28,455

THE Central Bank of Nigeria (CBN) has auctioned $418 million at a marginal rate of N310 to a dollar, to airlines, agriculture, petroleum and raw materials sub sectors.

The CBN acting Director, Corporate Communications, Mr Isaac Okorafor, said in Abuja that the $480m offered last week was in addition to the $350 million sold as wholesale auction for travel allowance and school fees at the same period.

He said that in the weeks ahead, the CBN would further sustain its intervention through the sale of foreign exchange to all segments of the market, like the interbank and the Bureau de Change segment.

“The Bank will sell short tenured forwards of 7 to 30-day maturity to meet demand of manufacturers and all other foreign exchange users.

“These significant injections of foreign exchange into the market should reassure all foreign exchange users of our determination to continue to meet all legitimate forex demand in the market,” he said.

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Okorafor reiterated the bank’s commitment to achieving exchange rate stability in the Nigeria market.

The CBN in recent months had injected dollars to the inter-bank and Bureau de Change foreign exchange market in its bid to sustain forex supply to different categories of users.

This translated to the appreciation of the Naira from an all time low of about N560 to a dollar, to N355 within two months.

However, in the last two weeks, the Naira began to weaken again against the dollar, which was attributed to alleged hoarding of the greenback by commercial banks, and insufficient supply to the BDC segments and other stakeholders.

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To remedy this, the CBN had threatened to penalise any bank refusing to sell forex to customers.

Also, forex supply to the BDC was increased from 8,000 dollars per week to 10,000 dollars.

The Naira now sells at N405 to a dollar in the parallel market

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