Naira depreciates as CBN injects $250m

The naira, yesterday, depreciated against the dollar in the parallel market as well as in the Investors and Exporters (I&E) window, even as the Central Bank of Nigeria (CBN) injected $250 million into the interbank foreign exchange market.

Vanguard investigation revealed that the naira depreciated against the dollar by N2 in the parallel market as the exchange rate for the market rose to N367 per dollar at the close of business, yesterday, from N365 per dollar, last week.

In the I&E window, the naira depreciated by 90 kobo as the indicative exchange rate also known as Nigeria Autonomous Foreign Exchange (NAFEX) rose to N359.4 per dollar from N358.5 per dollar, last week.

The volume of dollars traded in window dropped 53 per cent to $110.25 million from $231.23 million.

Meanwhile the CBN in a bid to sustain its intervention in the foreign exchange market injected $250 million into the interbank market.

Details of the intervention indicate that the wholesale sector was offered the sum of $100 million, just as the Small and Medium Enterprises (SMEs) window received a boost of $80 million. Those requiring foreign exchange to address needs such as Business/Personal Travel Allowances, school tuition, medicals, etc. were allotted the total sum of $70 million.

The Bank’s Acting Director in charge of Corporate Communications, Isaac Okorafor, who disclosed this, reiterated that the interventions had ensured stability in the market, even as he stressed that the CBN remained committed to maintaining transparency in the market.

According to him, CBN had taken measures to check the activities of speculators and shield the currency from attacks, while also maintaining the international value of the Naira.