Breaking: Naira gains as CBN sells N1,101/$

Central Bank of Nigeria has declared the sales of dollars to Bureau De Change operators.

The circular was revealed on its websites on Monday.

The apex bank said it is set to sell $10,000 to Bureau De Change each at N1101/$ and directed the operators to sell at a spread not more than 1.5 per cent above the CBN rate.

Recall in March, the apex bank sold $10,000 to BDCs at a rate of N1,251/$ and directed the BDCs to sell to eligible customers at a rate not exceeding 1.5 per cent above the purchase price (N1,269/$1).

This followed the bank’s earlier decision to sell foreign exchange worth $20,000 to eligible BDCs across the country in February.

The statement read, ” We write to inform you of the sale of $10,000 by the CBN to BDCs at the rate of 1101/$. The BDCs are, in turn, to sell to eligible end users at a spread not more than 1.5 per cent of the purchase price.”

This recent move follows an appeal by the Association of Bureau De Change Operators of Nigeria to the CBN to adjust and lower its applicable exchange rate below the N1,251/$ it pegged for its members.

Aminu Gwadabe, ABCON National President, said this in a letter to the CBN Director, Trade and Exchange Department.

The parallel market rate of 1,235/$ is lower than the BDCs’ applicable buying exchange rate of 1,251/$ (plus a 1.5 per cent margin) set by the CBN in its latest tranche of interventions.

The CBN ordered all eligible BDCs to commence payment of naira deposit into the designated CBN accounts from April 8, 2024.

CBN also requested operators to summit proof of payment and other related documents at the appropriate branches for disbursement.

Meanwhile, Nigeria’s foreign exchange experienced a sharp decline of about $1.02bn within 18 days, as of April 4, the CBN continues to defend the naira, thus, this data was showed on their website.

Details later…