The Central Bank of Nigeria (CBN) announced today, Thursday, that it will continue to promote orderliness and professional behaviour among all players in the Nigerian Foreign Exchange Market in order to guarantee that market forces set exchange rates on a Willing Buyer – Willing Seller basis.
To encourage price discovery, transparency, and credibility in FX rates, the CBN reaffirmed that the current Foreign Exchange (FX) prices should be referenced from platforms such as the CBN website, FMDQ, and other recognized or appointed trading systems.
This was stated in a statement by Isa AbdulMumin PhD, Director of Corporate Communications.
The CBN said as part of its responsibility to ensure price stability, it will boost liquidity in the Nigerian Foreign Exchange Market by interventions from time to time. As market liquidity improves, these interventions will gradually decrease.
It added that Importers 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 hange in the Nigerian Foreign Exchange Market.
The CBN says it is committed to accelerating efforts to clear the FX backlog with existing participants and will continue dialogue with stakeholders to address the issue.