The Central Bank of Nigeria (CBN) upheld the stability of the naira by engaging in foreign exchange market interventions, resulting in a net sale of $5.78 billion during the first half of 2023…CONTINUE READING....KINDLY READ THE FULL STORY HERE▶
In contrast, the central bank bought a total of $655.53 million in the foreign exchange market, as revealed in the half-year financial market activity report released on the CBN’s website on Tuesday.
When compared to the preceding half-year, the CBN’s net FX sales decreased by 26.84 percent from the $7.90 billion reported at the end of June 2022.
The bank continued its involvement in the foreign exchange market to mitigate demand pressures and maintain exchange rate stability. During the review period, spot transactions saw a decline compared to the corresponding period in 2022, while transactions in the forward market experienced a slight increase.
According to the report, a total of $6.44 billion was transacted in the foreign exchange market, consisting of spot and forward sales totaling $1.56 billion or 24.19 percent and $4.88 billion or 75.81 percent, respectively.
The spot sales included $612.41 million or 9.51 percent of the total foreign exchange sold at the inter-bank Secondary Market Intervention Sales (SMIS) window, $455.31 million or 7.07 percent for Small and Medium Enterprises (SMEs), $441.75 million or 6.86 percent for invisible transactions, and $48.00 million or 0.75 percent at the Investor’ and Exporters’ (I&E) window.
