CBN limits interbank dollar holdings to 72 hours - Nigerias - TopicsExpress



          

CBN limits interbank dollar holdings to 72 hours - Nigerias central bank said on Tuesday that dollars bought from the interbank market can be held only for up to 72 hours, after which they must be sold back to the central bank at its own day rate. The move is intended to curb speculation on the Naira, which has been hit hard in the past few months by falling oil prices. Meanwhile the Naira fell 1.4 percent against the U.S. currency on Tuesday, with no fresh dollar supply and after the central bank dropped a directive that had stopped commercial lenders from taking positions in the forex market, dealers said. The unit closed at 183.70 Naira to the dollar, weaker than Mondays close of 181.20 Naira. The central bank on Tuesday said commercial banks can hold 0.1 percent of their shareholders funds in foreign currency, reversing a directive enforced last month to stop lenders from dealing in hard currency on their account.
Posted on: Thu, 15 Jan 2015 08:39:24 +0000

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