CBN, Currency Traders Partnership Helped Keep Naira Stable - Gwadabe
The naira has been relatively stable over the past one year.
Many attribute this to the Central Bank of Nigeria, CBN’s constant intervention in the foreign exchange market.
But the Chairman of the Association of Bureaux De Change Operators of Nigeria, ABCON Aminu Gwadabe said the stable exchange rate isn’t only because of the consistent intervention of the apex bank, but because of the strategic partnership between the CBN and ABCON on foreign exchange supplies.
Gwadabe, who disclosed this in a statement on Monday said both the apex bank and ABCON worked together in the course of the year to achieve exchange rate stability, which was one of the agenda set by the CBN Governor, Godwin Emefiele, at the beginning of his tenure.
Gwadabe said the partnership between both institutions would continue in the New Year to make naira sovereign in the forex market.
He said: “The strategic partnership between the Central Bank and ABCON continued to make the naira sovereign in the foreign exchange market. The opening market rate N360/361 to dollar on the two-way quote has been stable. This sustained stability made the Bureaux De Change to continue to be the potent monetary policy tool of CBN exchange rate managements”.
According to the ABCON boss, the market distortions by forex speculators, rent seekers, currency hoarders and frivolous demand that usually endangered naira stability had been successfully checkmated.
He said it was no longer profitable to attack naira in the market.
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