BREAKING: CBN floats naira at investors’ forex window
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“Hence, banks and customers are allowed to trade freely at any rate subject to N1 spread between buy and sell rate," the bank chief reportedly said.
The Central Bank of Nigeria (CBN) has reportedly directed Deposit Money Banks to remove the rate cap on the naira at the Investors and Exporters’ (I&E) Window of the foreign exchange market.
This, the report says, is to allow for a free float of the national currency against the dollar and other global currencies.
PUNCH quoted the chief executive officer of a commercial bank as confirming the development that banks are now allowed to trade forex on the I & E window at any rate, subject to N1 spread.
“The CBN has called banks that the rate cap has been removed at I&E Window.
“Hence, banks and customers are allowed to trade freely at any rate subject to N1 spread between buy and sell rate,” the bank chief reportedly said.
The development, according to the news medium led to a depreciation of naira on Wednesday to over N700/dollar during trading on the I&E window.
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