$1.5bn FX flows into Nigerian economy in two days- CBN
By Patience Ikpeme
The Central Bank of Nigeria (CBN), has announced the influx of over $1.5 billion into the economy within the past few days.
This is indicative of the positive impact of the bank’s monetary policy efforts.
Mrs. Hakama Sidi Ali, the Acting Director of the Corporate Communications Department of the CBN, made these assertions in Abuja. She emphasized that these inflows were a direct result of the CBN’s strategic measures aimed at stabilizing the foreign exchange market.
The data available to the CBN further underscores this success, with the Naira witnessing significant gains in the Autonomous Foreign Exchange market.
As reported, the Naira traded at N1,309/$1 compared to N1,611/$1 in the second week of March 2024.
Mrs. Sidi Ali expressed optimism about the trajectory of the Naira, stating that its current rate signifies a positive direction. She reassured stakeholders that the CBN, under the leadership of Governor Olayemi Cardoso, remains steadfast in its commitment to ensuring market stability and appropriate pricing of the Naira against major global currencies.
The recent monetary policy decisions made by the CBN’s Monetary Policy Committee (MPC) further affirm the bank’s dedication to economic stability. On Tuesday, March 26, 2024, the MPC announced a two-percent increase in its benchmark rate, raising it from 22.75% to 24.75%. Governor Olayemi Cardoso reiterated the CBN’s commitment to addressing foreign exchange backlog, emphasizing that this action would enhance liquidity in the foreign exchange market.
Additionally, the CBN conducted a successful Nigerian Treasury Bills (NTBs) auction on Wednesday, March 27, 2024, totaling N1.64 trillion. The stop rates for the 91-day, 182-day, and 364-day tenors were recorded at 16.24%, 17%, and 21.124%, respectively.
These recent developments underscore the CBN’s proactive measures to sustain economic stability and enhance investor confidence. With a focus on prudent monetary policy and effective market interventions, the Bank continues to navigate the challenges of the global economic landscape, positioning Nigeria for sustainable growth and development.
