CBN said the Bilateral Currency Swap Agreement with the Peoples’ Bank of China has continued to receive encouraging responses from customers.
Uche Usim, Abuja
In line with its resolve to boost operations in the retail Secondary Market Intervention Sales (SMIS), the Central Bank of Nigeria (CBN) has injected $317.52 million into that segment of the market, in addition to CNY58.40 million in the spot and short-tenured forwards segment.
The figures obtained from the apex Bank on Friday revealed that the US dollar-denominated interventions were only for actors in the agricultural and raw materials sectors, while the Yuan was for Renminbi-denominated Letters of Credit.
Confirming the figures, CBN Director, Corporate Communications Department, Mr Isaac Okorafor, said the Bilateral Currency Swap Agreement (BCSA) with the Peoples’ Bank of China has continued to receive encouraging responses from customers.
While noting that Friday’s sale was the fifth in a series of interventions, he said the BCSA was achieving its major objectives of reducing the use and influence of third currency transactions; reducing the pressure on the naira exchange rate; easing trade transactions between Nigeria and China, and maintaining financial market stability in Nigeria.
Okorafor further assured that the CBN would remain committed to ensuring that all the sectors of the foreign exchange market continue to enjoy access to needed foreign exchange by Nigerians.
The Bank had on Tuesday, September 18, intervened in the inter-bank Foreign Exchange Market to the tune of $210 million.
Meanwhile, $1 exchanged for N361 at the Bureau de Change (BDC) segment of the foreign exchange market, while CNY 1 exchanged for N53.