Business

Naira closes at N281 to dollar as Britain exits EU

BDCs to get $50, 000 weekly as CBN increases sales benchmark

The Naira on Friday fell to N281 to dollar despite dollar injection worth $58 million into the market. The dollar supply was the fifth in row by the Central Bank of Nigeria (CBN) to boost forex liquidity.

The interbank market opened and closed on expectation that Britain exits her economy from the European Union.

Read also: FG plans to inject N350bn to enhance economy

The Deputy Governor, Central Bank of Nigeria, CBN, Mrs. Sarah Alade told journalists that the apex bank expects Britain’s vote to exit the European Union to be good for its forex policy as interest rates are likely to stay low in the U.S., channeling foreign investors to Nigeria.
Reuters quotes her as having said: “We only need to take advantage of this opportunity to grow the economy”.
Britain voted to exit the European Union, spreading jitters across emerging markets including Nigeria.
Financial analysts are quick to point though that quitting the EU could cost Britain access to the EU’s trade barrier-free single market and means it must seek new trade accords with countries around the world.
Meanwhile, the CBN’s attempt to clear a backlog of dollar demand with an injection of $4billion on Monday has narrowed the gulf between the Naira rates available on the official and black markets, though unofficial market was trading at 19 percent lower than the interbank market at 345 on Thursday.

 

RipplesNigeria …without borders, without fears

Ripples Nigeria

We are an online newspaper, very passionate about Nigerian politics, business and their leaders. We dig deeper, without borders and without fears.
www.ripplesnigeria.com

Join the conversation

Opinions

About the author

Ripples Nigeria

We are an online newspaper, very passionate about Nigerian politics, business and their leaders. We dig deeper, without borders and without fears.
www.ripplesnigeria.com

Do NOT follow this link or you will be banned from the site!