CBN Makes Fresh Move About Naira-Dollar Exchange Rate

Forum 7 years ago

CBN Makes Fresh Move About Naira-Dollar Exchange Rate

Going by recent reports, the Central Bank of Nigeria, CBN, has begun consultations on adopting a flexible exchange rate for the country's currency, the naira.

The apex bank on Wednesday held a meeting with treasurers of banks, one of a series of consultations with critical stakeholders in the financial system, to discuss its planned adoption of a flexible exchange regime, reports say, in Abuja.

The CBN is also slated to meet with bank chief executives and other operators in the financial system and the wider economy before announcing the rules for the flexible exchange rate regime.

A bank treasurer who preferred to remain anonymous, confirmed the development.

“Whatever CBN is going to release as a guideline on the flexible exchange rate is expected to be something that would enable us (bank treasurers) trade in the market," he said.

“So if the guidelines are the ones that would not allow us trade effectively, it doesn’t make any sense.

“Basically, the meeting was about getting traders’ views on the proposed flexible exchange rate, find out expectations for the market and if there are grey areas that could be hormonised.

“I want to believe that is why the guidelines are being delayed. Probably after this meeting, in the next few days they would be released.
The banks are major stakeholders and the treasurers are the ones in the market.”