CBN to sell dollars to airlines, fuel importers

Manufacturers, airlines, fuel importers and agriculture businesses will be able to buy dollars at a special market intervention, the Central Bank of Nigeria, CBN, said on Wednesday.

The new intervention will enable them to clear a backlog of foreign exchange obligations, the apex bank said in a notice to lenders.

The central bank plans to settle the bids to clear a backlog of foreign exchange obligations now due through a combination of spot and short-term forward deals, currency traders said, citing a notice from the bank.

It, however, did not specify the amount of dollars to be sold.

According to CBN’s notice, “Authorised dealers’ accounts with the central bank will be debited in full for the naira equivalent of the dollar bid amount on a spot basis.”

The central bank has been selling dollars since February in an effort to improve liquidity and narrow the spread between the official and black market exchange rates for the naira.

PREMIUM TIMES gathered that about $5 billion has been sold.

The naira was quoted at 377.83 to the dollar at the investor window, according to market regulator.

It sold for 305.60 to the dollar at the interbank window and 366 on the black market.