TheNewsGuru

Tag: Dollar

  • Again, Naira depreciates against dollar, exchanges for N370/$1

    Again, Naira depreciates against dollar, exchanges for N370/$1

    The naira on Tuesday failed to consolidate on its gains in recent weeks.

    It depreciated to N370 per dollar in the parallel market. The local currency has dropped N3 in just three days.

    It, however, recorded marginal appreciation in the Investors and Exporters (I&E) window.

    The indicative exchange rate dropped to N362.38 per dollar Tuesday from N362.50 on Monday, translating into 12 kobo appreciation for the naira.

    Meanwhile, the Central Bank of Nigeria (CBN) Tuesday injected $364 million into the interbank foreign exchange market, in a bid to sustain its intervention and boost liquidity in the foreign exchange market.

    Acting Director, Corporate Communications Department, CBN, Isaac Okororafor said: “The CBN intervened in the inter-bank foreign exchange market to the tune of $364million in a bid to sustain liquidity in the market.

    “The Retail Secondary Market Intervention Sales (SMIS) received the largest allocation of $264.19 million.”

    The CBN also offered the sum of $100 million to authorised dealers in the wholesale window.

    He said the CBN also received requests from authorized forex dealers on behalf of their customers, for which results will be released, stressing that the CBN remained committed to achieving a convergence of rates at the inter-bank and bureau-de-change segments of the market.

    Also, the CBN, in a bid to improve foreign exchange availability in the Nigerian Forex Market and ameliorate challenges encountered by critical stakeholders, says payment for port charges to the Nigerian Ports Authority (NPA) and other agencies by oil marketing companies can now be accommodated by the Bank using Form ‘A’.

    A circular signed by the Director, Trade and Exchange Department, Wuritka Dauda Gotring, directed authorized dealers to accept the request for the payments of port charges from oil marketing companies and forward same to the CBN Forex window‎.

  • Naira falls against dollar, exchanges for N367/1$

    Naira falls against dollar, exchanges for N367/1$

    The naira on Monday depreciated further against the dollar at the parallel market, exchanging at N367 to the dollar.

    The Nigerian currency lost one point from N366 posted on Friday, while the Pound Sterling and the Euro closed at N476 and N432.

    At the Bureau De Change segment, the naira was sold at N363 to the dollar, while the Pound Sterling and the Euro closed at N476 and N432, respectively.

    The naira, however, appreciated at the investors’ window as it closed at 362.50, stronger than N365.68, its opening rate.

    Traders said that the demand for foreign exchange outstripped its supply.

    The Central Bank of Nigeria is intervening at the foreign exchange market to stabilise the naira.

    The naira had rallied around N363 to the dollar for about two weeks until market forces dragged it into depreciation.

  • Naira sustains gain against dollar, exchanges for N363/1$

    The naira on Wednesday appreciated against the dollar at the parallel market, exchanging at N363 to the dollar from the N364 posted on Tuesday.

    The pound sterling and the Euro closed at N477 and N428 to the naira, respectively.

    At the Bureau De Change (BDC) window, the naira was traded at N363 to the dollar, while the pound sterling and the Euro closed at N477 and N428, respectively.

    Trading at the investors window saw the naira closing at N367.50 to the dollar.

    Traders expressed optimism that the interventions by the CBN at the market were capable of closing the gap further between the rates at the parallel market and other segments.

    NAN reports that not all the BDCs in the South West bought foreign exchange from the weekly auction on Tuesday.

    A credible BDC source told NAN on condition of anonymity that since the near convergence of rates many BDCs were trading at a loss.

     

     

    NAN

  • Naira gains marginally against dollar, exchanges for N362.50/$1

    The Naira on Wednesday appreciated marginally against the dollar at the parallel market.

    The Nigerian currency gained 50k to exchange at N362.50, stronger than N363 posted on Tuesday, while the Pound Sterling and the Euro traded at N473 and N422 respectively.

    At the Bureau De Change (BDC) window, the Naira was sold at N363, while the Pound Sterling and the Euro traded at N472 and N423 respectively.

    The Naira, however, depreciated at the investors’ window, selling at N368.50 from 367.28 to the dollar.

    Traders at the market said that uncertainty on the exchange rate permeated trading as buyers exercised great caution.

    TheNewsGuru.com reports that since the implementation of the flexible exchange rate policy, the forces of demand and supply had been the sole determinant of the exchange rate.

    Though the Central Bank of Nigeria (CBN) had since discontinued its peg on the exchange rate, it had remained resolute in its interventions and ensuring a robust and stable exchange rate policy.

    The stability and availability of foreign exchange had impacted positively on the expansion of the manufacturing sector as reflected in the Purchasing Managers Index (PMI) for July.

    Data from the CBN showed that the PMI stood at 54.1 per cent in July 2017, indicating expansion in the manufacturing sector for the fourth consecutive month.

     

     

    NAN

  • Naira climbs, now N365 to dollar at parallel market

    Naira climbs, now N365 to dollar at parallel market

    The Naira today flexed some muscles, gained some strength and climbed to N365 at the parallel market, gaining on the dollar, pounds and euro.

    The Naira gained one point to exchange at N365 to the dollar at the parallel market. It had fallen to N366 posted on Friday, even as the Pound Sterling and the Euro traded at N475 and N420, respectively.

    At the Bureau De Change (BDC) window, the Naira traded at N362 to the dollar, while the pound sterling and the Euro closed at N417 and N419.

    ALSO READ: http://

    http://thenewsguru.ng/naira-strengthens-dollar-parallel-market/

    The Naira, however, depreciated at the investors’ window as it closed at N367.3 to the dollar.

    Trading at the interbank market saw the Naira close at N305.8 to the dollar.

    Traders said that activities at the market were at low key as stakeholders awaited the outcome of the Monetary Policy Committee (MPC) meeting of the Central Bank of Nigeria (CBN).

    The Naira has remained stable for about two months due to the sustained interventions by the CBN at the foreign exchange market.

    Traders urged the apex bank to continue to boost liquidity at the market

  • Banks raise dollar spending limit on Pos, online transactions by 900%

    Banks raise dollar spending limit on Pos, online transactions by 900%

    Indications emerge on Tuesday that commercial banks have raised customers’ international dollar spending limit on overseas Point of Sale (PoS) and online card transactions by 900 per cent.

    The policy shift is expected to help travellers pay their hotel bills, make reservations and other transactions using their debit cards.

    The decision to increase the spending limit followed improved dollar liquidity in the market triggered by the Central Bank of Nigeria (CBN)-sustained interventions.

    The interventions have yielded results and reduced foreign currency pressure on many lenders.

    TheNewsGuru.com reports that the CBN has pumped over $6 billion into key segments of the market in the last four months, an initiative that has stabilized the naira against the dollar.

    Some of the funds have helped banks meet retail demand for Personal Travel Allowances (PTA), Business Travel Allowances (BTA), medical needs and school fees payment abroad.

    Also, the Investors’ and Exporters’ FX introduced on April 24 to attract foreign investors and boost the supply of dollars has traded around $3.83 billion since it was established. It has also impacted on naira’s stability and improved dollar liquidity in the market, helping banks to review their dollar spending positions.

    In a report to customers titled: Upward Review of the International Spending Limit on Your Naira MasterCard’ GTBank raised monthly dollar spending limit on naira MasterCard from $100 to $1,000 representing 900 per cent increase. The bank said: “We write to inform you of the monthly spending limits currently applicable when using your GTBank Naira MasterCard for International payments”.

    The bank said customers could access the fund through Point of Sale (POS) and other online channels. The bank however, said international cash withdrawal was still restricted.

    Many of the lenders, at the height of forex scarcity, pegged monthly transactions on PoS and online transactions using cards at $100, British Pounds Sterling 90, Euro 130 and Canadian Dollars 360.

    Stanbic IBTC Bank, United Bank for Africa, Access Bank, Stanbic IBTC Bank, Standard Chartered Bank Nigeria (StanChart) and GTBank last October, announced the suspension of their overseas Automated Teller Machine card services. Also suspended by the banks were all foreign currency-denominated transactions, including those conducted on PoS machines and online.

    The naira was then exchanging at N310 to the dollar in the official market and N450 to the dollar in the parallel market. The naira has since appreciated at both official and parallel markets. It was yesterday exchanging at N306 to dollar in the official market and N368 to the dollar in the parallel market.

    During the dollar crisis era, many banks encouraged travellers to open dollar accounts, which have no spending limit. Such cards are issued by the banks on domiciliary accounts funded directly by customers.

     

    Confirming the rising dollar liquidity in the economy, Fitch Ratings said Nigerian banks’ ability to access dollar has improved considerably since the CBN introduced a foreign exchange “window” aimed at investors and exporters.

    It admitted the Nigerian Autonomous Foreign Exchange Rate Fixing (NAFEX) mechanism, commonly referred to as the “Investors’ and Exporters’ FX Window”, is boosting foreign currency supply and the flow of dollar liquidity into the banking system.

    It said improved access to dollar means that liquidity pressures have, for now, eased for Fitch-rated banks.

  • Naira depreciates marginally against dollar, exchanges for N365/$1

    Naira depreciates marginally against dollar, exchanges for N365/$1

    The Naira on Friday suffered marginal loss against the dollar at the parallel market in spite of CBN’s intervention at the foreign exchange market.

    The Naira lost one point to exchange at N366, weaker than N365 traded on Thursday, while the pound sterling and the Euro closed at N468 and N412, respectively.

    At the Bureau De Change window, the Naira was sold at N363 to the dollar, while the pound sterling and the Euro exchanged at N470 and N412, respectively.

    Trading at the official interbank window saw the Naira closed at N306 to the dollar, while the pound sterling and the Euro traded at N396.10 and N348.50, respectively.

    The Nigerian currency, however, appreciated at the investors’ window as it closed at N365.02.

    Traders at the market expressed concern that in spite of the sustained intervention of the apex bank at the FOREX market, the Naira had hovered between N360 and N366 in the past two months.

    Meanwhile, Prof. Sherrifdeen Tella, a Senior Economist at the Olabisi Onabanjo University, Ago-Iwoye, Ogun, said that the passing of the budget by the National Assembly had increased the
    demand for imported goods.

    Tella noted that the CBN flooded the FOREX market with liquidity at the onset when the demand for FOREX was low, compared to now.

    The economist said that there was a limit to which the apex bank could intervene in order not to put pressures on the nation’s external reserve.

     

     

     

     

    NAN

     

  • Naira appreciates against dollar, now exchanges for N365/$1

    Naira appreciates against dollar, now exchanges for N365/$1

    The Naira on Monday slightly appreciated against the dollar at the parallel market. Naira gained two points to exchange at N365 to the dollar.

    Pound sterling and the Euro traded at N465 and N412 respectively.

    Trading at the interbank market saw the Naira closed officially at N305.95 to the dollar, while the pound sterling and the Euro closed at N397.12 and N349.22, respectively.

    The appreciation is believed to be response to Central Bank of Nigeria (CBN) last Wednesday’s intervention in various segments of the inter-bank market to the tune of $195 million.

    TheNewsGuru.com reports that a breakdown revealed that authorised dealers in the wholesale window segment received a $100 million offer from the bank, while the Small and Medium Enterprises (SMEs) and invisibles windows were allocated the sums of $50 million and $45 million respectively.

    CBN acting Director, Corporate Communications Department, Mr. Isaac Okorafor, confirmed the figures and disclosed that the bank was impressed by the high level of transparency exhibited by stakeholders in the market.

    With the rate of inflation dropping from its April 2017 figure of 17.24 per cent to 16.25 per cent at the end of May, 2017, the CBN spokesman said the bank remained upbeat that the fortunes of the naira would improve further in the months to come.

    A breakdown of the dollar sales showed that $680 million was pumped into the market in February; $1.542 billion was sold in March; $1.616 billion in April; $2.102 billion in May; and $1.196 billion in June.

     

     

  • Scarcity: CBN injects $195m into forex market

    Scarcity: CBN injects $195m into forex market

    …as Naira exchanges for N364/$1

    Following its 800 million dollars intervention in the inter-bank Foreign Exchange (FOREX) Market last week, the Central Bank of Nigeria (CBN), on Monday, injected 195 million dollars into the market to meet the requests of customers in the various segments of the market.

    The acting Director, Corporate Communications, Mr Isaac Okorafor , said in a statement in Abuja that the bank would soon introduce a new FOREX retail option.

    Giving a breakdown of funds injected on Monday, he said the apex bank offered 100 million dollars to authourised dealers through interbank wholesale window, while it allocated 50 million dollars to Small and Medium Enterprises (SMEs) window.

    Okorafor said the Invisibles segment was allocated 45 million dollars to meet the needs of those who applied for FOREX to settle Business/Personal Travel Allowances, school tuition and medicals.

    The CBN spokesperson said the bank would continue to ensure adherence to its forex policy by insisting on transparency by stakeholders to guarantee stability in the market.

    The CBN made two major interventions in the inter-bank Forex market last week, totaling 831.5 million dollars.

    Since February 2017, the bank had boosted transactions at the Investors’ and Exporters’ segment of the market to the tune of 2.2 billion dollars.

    Also last week, the CBN, in a bid to tackle inflation, unveiled plan to mop up N200.32 billion from the Nigerian banking system through special Open Market Operation (OMO) at the rate of 16 per cent per annum.

    Meanwhile, the Naira had continued to maintain its stability in the FOREX market, exchanging at an average of N364 to a dollar at the parallel segment of the market on Monday.

     

     

    NAN

     

  • Naira appreciates against dollar, exchanges for N375/$1

    Naira appreciates against dollar, exchanges for N375/$1

    The N​aira on Wednesday remained stable ​at N375 per dollar in the parallel market.

    ​The local currency sustained the exchange value in the last one week.

    Th​is is due to the latest sale of dollars to Bureau de change (BDCs) by the Central Bank of Nigeria (CBN)​.​

    TheNewsGuru.com reports that the apex bank had on Tuesday intervened in the inter-bank market to the tune of $482.6 million in the first trading day after the Democracy Day celebrations.

    A statement issued by its Acting Director, Corporate Communications, Isaac Okorafor, in Abuja said this was part of measures to underline its determination to guard the international value of the ​N​aira.

    Okorafor said a breakdown of the intervention indicates that the retail Secondary Market Intervention Sales (SMIS) was allocated $285.7 million, while the $100 million was offered in the Wholesale SMIS auction window.

    The Small and Medium Enterprises (SMEs) window got an allocation of $52 million, while the invisibles segment, comprising Basic Travel Allowance (BTA), Personal Travel Allowance (PTA), medicals and tuition fees, among others was allocated $45 million.

    Okorafor said the interventions were in line with the bank’s resolve, echoed by the governor, Godwin Emefiele at last Tuesday’s briefing of the Monetary Policy Committee (MPC) meeting.

    The Small and Medium Enterprises (SMEs) window got an allocation of $52 million, while the invisibles segment, comprising Basic Travel Allowance (BTA), Personal Travel Allowance (PTA), medicals and tuition fees, among others was allocated $45 million.

    While expressing pleasure that the intervention of the bank had ensured stability across all segments of the Foreign Exchange market, ​the official expressed optimism that the bank’s objective of exchange rate convergence would be achieved soon.