CBN To Sell Dollars To Fuel Importers, Airlines
Central Bank of Nigeria, CBN said on Tuesday it will sell dollars to manufacturers, airlines, fuel importers and agriculture businesses.
The sale is however on forward contract.
This means that the importers, airlines and other purchasing parties will tell the CBN how much dollars they want and the amount they want to buy it this week.
After that, they will pay CBN the Naira equivalent and CBN will deliver the dollars to them in two months’ time.
CBN said the dollar forward was to offset a backlog of matured foreign exchange obligations.
"Authorised dealers' accounts with the Central Bank will be debited in full for the Naira equivalent of the dollar bid amount on a spot basis," the bank said in a notice to commercial banks.
"The Central Bank will settle the bids through forward settlements of two months," added CBN, which did not specify the amount of dollars to be sold.
The bank had on Monday offered $150 million wholesale forwards to banks and said it also released $90 million for invisible transactions to ensure liquidity in the forex market.
The bank has been selling dollars on the official market to narrow the spread with the black-market exchange rate of the naira.