Naira and Dollar

By OBINNA EZUGWU

After much back and forth, the Central Bank of Nigeria (CBN) on Friday, announced a devaluation of the naira.

This was contained in an official circular by the Director, Trade and Exchange department of the CBN, Ozoemena Nnaji.
The circular said the decision is part of efforts by the bank to establish a uniform rate between the official and the parallel market rates for bureau de change operators.

The circular was on the disbursement of the proceeds of the International Money Transfer Operator (IMTO).

With the new rate, the CBN has now ended the era of multiple exchange rate that had been in place since 2016.

On Friday, the apex bank sold dollars to deposit money banks (DMBs) at the rate of N380 to one dollar.

The country will now have a single exchange rate for official transactions and bureau de change operators, importers and exporters and other users.

Going forward, dollars sold to banks will be at the rate of N376 per dollar, while banks to CBN will be at N377 per dollar.

Also, the rate by CBN to Bureau de change operators will be N378 per dollar, while BDCs to end-users should not be more than N380 per dollar, and the volume of sales for each market is $20, 000 per BDC.