Nigeria Central Bank announces new foreign exchange policy

CBN
Central bank of Nigeria building

The Central Bank of Nigeria, CBN, has released a new foreign exchange policy in the country with immediate effect.

The new policy is sequel to last Thursday’s directive by the National Economic Council, NEC, for immediate review to stem the widening gap between the inter-bank foreign exchange and parallel market rates.

The CBN said in order to ease the difficulties encountered by Nigerians in obtaining funds for foreign exchange transactions, it would henceforth be providing direct additional funding to banks to meet the needs of Nigerians for personal and business travel, medical needs, and school fees, effective immediately.

The CBN said such retail transactions would be settled at a rate not exceeding 20 per cent above the interbank market rate.

Details later …


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  • Watch man

    CBN house of confusion. What a rudderless institution manned by unpatriotic elements!

    • Rommel

      So what have you said?

      • Watch man

        Nothing! Are you satisfied now?

        • Ifeanyi

          CBN is independent of govt, Jonathan appointed omefiele not buhari so he may be acting his master’s script as sabotage to this govt. He can’t be better than those Jonathan was appointing.

  • Steve

    Back and forth policy. Naira is bleeding

  • Rommel

    I think 20% margin of profit is good but I am waiting to know how it will be implemented,Nigerian love for foreign goods including currency is an obsession,SAD!

    • Watch man

      I thought you work hand in hand with Buhari. So, why would you wait to see how it would be implemented?

      • Rommel

        Because I am not a financial person so I would wait on the experts

        • Watch man

          Really! But then you did not need to wait and see how your “20% margin of profit” plays out by the expert before you declared it good?

        • sly

          You are a failure. If you are not a finance person, the expert will eat you try.

          • sly

            I mean dry

    • evidence

      Your Fulani master, Buhari is the number one culprit, he has travelled over 30 times in less than 2 years , all his cars both for last year and this year are imported. His wife and children wear expensive designer clothes, watches and shoes and all his children school in the UK.
      Have you ever tried using your brain without help from APC and Buhari?
      Fulani asswipe.

      • Mufu Ola

        What exactly are you trying to say? Dumb head. Just ranting about Fulani will never take u out of your life miseries. Face your life & problems!

  • ::????????

    @disqus_MSz5KF4VNF:disqus

    IS THIS WHY NAIRA SUDDENLY FELL IN THE BLACK MARKET TO 525 TO ONE DOLLAR TODAY?

  • evidence

    Policy somersault/ policy inconsistency is the major reason foreign investors removed their dollars and went to countries like Kenya, SA and Ethiopia.
    Brainless government.

  • Lala Hansy

    Osibande spot on…More credits

  • Ajayi Ifayemi

    I do’t know. All these multi tier foreign exchange thing breeds corruption and I am sure some folks are somersaulting for joy right now because another avenue has been opened for corrupt enrichment.

  • Jimi

    This policy change may make sense at first but it is born out of ignorance. I support a stable and stronger Naira but how do we ensure that those who buy foreign currency under this new policy will not sell it in the black market? This is the real question. The only way to take pressure off the Naira is to completely eliminate the official market which has become an avenue for lining the pockets of the rich and let the black market determine the exchange rate 100%

  • Kamalu

    The announced measure by CBN wiĺl not resolve the pent up demand from the importation of finished products. It’s like sprinkling salt into an ocean. CBN authorities know themselves that this policy is wrong headed, a flash in the pan and they only want to be seen doing something. I think Emefiele and his gang should give up the mantle and allow experienced technocrats run our monetary policy.

  • olat

    “direct additional funding to banks to meet the needs of Nigerians for personal and business travel, medical needs, and school fees, effective immediately” @ what rate?
    D CBN Govn contInue to destroy the economy.
    D banks are in business not for the economy but for profit, when they get better rate frm CBN,they sale to the black market. CBN shd stop direct dollars sale to any, issues letter of credit to importers which will cover transportation cost. People that need urgent medical attention that can’t be treated in Nigeria, the CBN through the office of the Minister of health shd open an account where medical bill will b paid in local currency @ CBN rate. the hospital will b paid directly n no cash payment shd b given to any. CBN shd also open separate account for Nigeria students abroad where thre parents n sponsors can pay in local currency @ CBN rate, students shd b required to provide proof of payment at Nigeria embassy @ thre domicile. the embassy will issue letter to thre institutions and after investigation make direct payment to the school.
    D forces in d market are the one creating problems for Naira, the CBN known dat, they created forex market for politicians n bank CEO to exploit the market.
    Enough Please!!!!!!!!!!!!
    CBN shd sale foreign currency to banks based on the market rate, give two rates to bank, rate for licensed bureau n rate for bank customers. All licensed bureau shd deal with the commercial banks and not CBN. D difference between
    bureau rate n bank customers rate shd b minimal. All unregistered bureau dat engaged in foreign currency sale shd b treated as economy sabotage n arrested.
    Any banks dat contravene set down rules shd b fine 100 million dollars while license withdraw from private bureau for the next ten years.

    • Observer

      Sense man

  • El Patron

    This Emefiele guy is a failure

  • Gidi

    Apparently, this government is still clueless on how to get the country out of economic malaise. CBN, under current leadership, has zero credibility in the eyes of investors.

    To get out of this problem, CBN must change its policy and embrace:

    1. Full deregulation of the Forex and
    2. Removal of capital control

    The economy need massive infusion of FDI to make up for dollar shortfall in the economy. Assets are currently cheap in Nigeria and should be more attractive to foreign investors, however, the capital control policy is sending a different signal to the institutional investors.

    One get frustrated watching the madness going on in Nigeria. It is as if we’ve outsourced our brain and suspend disbelief.

  • GEJ FOREVER

    IN ONE WORD ……. FRAUD!

    This is the clearest evdence that Nigeria is plunging deeper into corruption ….. as in the 1980’s … Bankers will once again become millionaires!

    • Kamalu

      Was it Buhari that looted and deposited billions of dollars from our national treasury inside the closets and soakaways of OBJ/YAR’ADUA/JONATHAN and their cronies? Hate will drive you to perdition my friend.

  • Frank Odinaka

    CBN is a disaster. I cannot believe these guys keep applying same drugs that wont work in different doses to the Nigeria economy.Sad

  • George

    Buhari always a failure and his wife a total bastard

    • Mufu Ola

      Just like your father & mother?

  • Naira should be allowed to find its own true level.The exchange rate should be uniform.