Each Bureau de Change (BDC) operator that the Central Bank of Nigeria (CBN) sold $10,000 to recently is expected to make a maximum of N180,000 margin, going by the instruction not to exceed 1.5 percent above the purchase price.
In its second tranche of dollar sale to eligible BDCs, the Central Bank of Nigeria (CBN) on Monday sold $10,000 to each BDC at a rate of N1,251/$. The apex bank expects them not to sell above N1,269/$, representing a margin of N18.
Despite this instruction, BDC operators on Tuesday March 26 still sell dollar to willing buyers at N1,450/$, saying that the weekly dollar sales from the CBN is not enough to meet the demands.
Nigerians await today’s outcome of ongoing meeting of the Monetary Policy Committee (MPC) which started yesterday March 25. Among other factors, concerns around inflation, foreign exchange (FX) stability will determine MPC members rate decisions.
“It appears that there have been moderate inflows of FX from foreign portfolio investors over recent weeks,” Guy Czartorysk-led Coronation research analysts said in a March 25 note.
