CBN directs banks to trade Foreign Exchange at any rate

There are indications that the Central Bank of Nigeria, CBN has directed banks to trade foreign exchange at any exchange rate in the Investors and Exporters window based on willing buyer, willing seller arrangements.

In response the Investors and Exporters window, exchange rate rose sharply to 610 naira per dollar from 471.67 naira last night.

Two banking executives confirmed to newsmen that the CBN has given the directive to the banks.

Meanwhile, an investment banker and the Co-founder, Comercio Partners, Nnamdi Nwizu, said the immediate impact of the directive is enhanced foreign exchange inflow into the economy and further rise in the inflation rate, as the Investors and Exporters window exchange rate rises aggressively as already seen today.