CBN releases $288m as naira weakens to 364/dollar

The Central Bank of Nigeria on Friday injected $287.89m into the currency market to meet requests in four industries for dollars, extending efforts to boost liquidity and alleviate shortages.

The four industries targeted were agriculture, airlines, petroleum and raw materials, the CBN said in a statement. The central bank said it would continue to intervene in order to drive growth in the economy and guarantee stability in the currency market.

The dollar sale came on the heels of the sharp drop in the value of the naira from 361/dollar last week Friday to 364/dollar on Friday. The CBN on Monday injected $210m into the inter-bank foreign exchange market, as the regulator stepped up efforts to stabilise the naira.

The Monetary Policy Committee of the CBN on Tuesday held key interest rates after its two-day meeting in Abuja. The Acting Director, Corporate Communications, CBN, Mr. Isaac Okorafor, said the bank had been offering forex to the market to meet requests from genuine bank customers.

He said the releases were aimed at boosting liquidity and trade as well as for ease of remittances for legitimate personal commitments. The CBN had during its last intervention week sold $195m at the interbank forex market.

UCJ, UNILORIN.