The Central Bank of Nigeria (CBN) injected $197.71 million into the FX market on Friday through sales to authorized dealers.
Omolara Duke, the CBN’s Director of Financial Markets Department, announced the intervention in a statement on Saturday, emphasizing the apex bank’s ongoing commitment to ensuring sufficient liquidity and promoting orderly market operations.
According to Duke, this action underscores the CBN’s broader goal of fostering a stable, transparent, and efficient foreign exchange market. The decision was largely prompted by recent volatility in the FX market, which she attributed to the announcement of new U.S. tariffs and the significant decline in global crude oil prices.
“The CBN has observed recent fluctuations in the foreign exchange market between April 3 and April 4,” Duke stated. “These are reflective of broader global macroeconomic shifts currently impacting several emerging markets and developing economies.” She explained that the U.S. tariffs on goods from various economies had triggered a period of adjustment in global markets.
Duke also highlighted the over 12% drop in crude oil prices, falling to around $65.50 per barrel, which presents new economic headwinds for oil-exporting nations like Nigeria.
She reassured the public that the CBN will continue to closely monitor both global and domestic market conditions. Duke expressed confidence in the resilience of Nigeria’s foreign exchange framework, which she said is designed to adapt to evolving economic fundamentals.
The CBN also reminded all authorized dealers to strictly adhere to the principles outlined in the Nigerian FX Market Code and to maintain the highest standards in their dealings with clients and market counterparties.
CBN Pumps $197.71m to boost fx liquidity.
