The Central Bank of Nigeria (CBN) said on Wednesday it will sell $100 million in currency forwards on the interbank market to clear a backlog of dollar demand from business and individuals.
The bank said in a note to commercial lenders that the intervention will require lenders to submit single bids to cover their demand for hard currency. The sale will be settled within 60 days.
The central bank has intervened on the forex market in the past two weeks as it attempts to narrow the spread between Nigeria’s official and black market dollar rates.
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