As part of its responsibilities to ensure price stability, the Central Bank of Nigeria (CBN) has reiterated its commitment to boosting liquidity in the Nigerian Foreign Exchange Market by interventions from time to time.
The Apex bank, however, said that the interventioons would be gradually decreased as market liquidity improves.
A statement signed by the Director od Communication, CBN, Isa AbdulMumin, said: ” to ensure market forces determine exchange rates on a Willing Buyer – Willing Seller principle, the CBN will to see that orderliness and professional conducts are promoted among all participants in the Nigerian Foreign Exchange Market ”
The CBN also reiterated that the prevailing Foreign Exchange (FX) rates should be referenced
from platforms such as the CBN website, FMDQ, and other recognised or appointed trading systems to promote price discovery, transparency, and credibility in the FX rates.
The apex bank added that mporters of all the 43 items previously restricted by the 2015 Circular referenced TED/FEM/FPC/GEN/01/010 and its addendums are now allowed to purchase foreign
exchange in the Nigerian Foreign Exchange Market.
The statement added: “The CBN is committed to accelerating efforts to clear the FX backlog with existing participants and will continue dialogue with stakeholders to address the issue.”
While the CBN said attainment of a single FX market is one of its set goals, it informed that consultation is ongoing with market participants to achieve this goal, even as participants and the general public are to be guided by the rules.
