The Central Bank of Nigeria (CBN) has conducted a series of foreign exchange transactions, injecting liquidity into the market to maintain stability in the exchange rate. According to a statement by the CBN’s Director of Corporate Communications, Osita Nwanisobi, the transactions were conducted within an exchange rate range of N1,498.00/$1 to N1,530.00/$1.
The CBN’s intervention in the foreign exchange market is aimed at ensuring the stability of the naira and maintaining a stable exchange rate. The apex bank has been conducting regular foreign exchange transactions to meet the demand for foreign currency by businesses and individuals.
The CBN’s foreign exchange transactions have been praised by industry analysts, who say it has helped to maintain stability in the forex market. “The CBN’s intervention in the forex market has been instrumental in maintaining a stable exchange rate,” said economist, Dr. Biodun Adedipe. “The apex bank’s ability to inject liquidity into the market has helped to prevent a sharp depreciation of the naira.”
The CBN’s foreign exchange transactions have also been commended by businesses, who say it has helped to reduce the uncertainty associated with the exchange rate. “The CBN’s intervention in the forex market has helped to reduce the uncertainty associated with the exchange rate,” said Muda Yusuf, Director-General of the Lagos Chamber of Commerce and Industry. “This has helped businesses to plan and make informed decisions.”
Despite the CBN’s efforts to maintain stability in the forex market, some analysts have expressed concerns about the sustainability of the apex bank’s intervention. “The CBN’s intervention in the forex market is not sustainable in the long term,” said economist, Dr. Ayo Teriba. “The apex bank needs to address the underlying factors driving the demand for foreign currency, rather than just intervening in the market.”
In response to these concerns, the CBN has said it is working to address the underlying factors driving the demand for foreign currency. “The CBN is working to address the underlying factors driving the demand for foreign currency, including the country’s reliance on imports,” said Nwanisobi. “We are also working to increase the supply of foreign currency by promoting exports and foreign investment.”
