The Central Bank of Nigeria (CBN) has announced plans to sell $20,000 to each eligible Bureau De Change (BDC) operator across the country at the rate of N1,590 per dollar. This intervention, aimed at providing liquidity to the foreign exchange market, comes as the naira continues to face depreciation pressures.

In a statement signed by the Acting Director of the Trade and Exchange Department, Dr. W. J. Kanya, the CBN emphasized that this move is intended to help BDCs meet demand for eligible invisible transactions. These include personal travel allowances, business travel allowances, medical bills, and school fees.

The announcement follows the naira’s recent plunge to N1,658.48 per dollar on the Nigerian Autonomous Foreign Exchange market, while parallel market rates reached N1,670 per dollar. The CBN hopes this injection of foreign exchange into the retail market will stabilize the naira and address rising demand in the market.

The central bank’s move underscores its ongoing efforts to manage the volatility in Nigeria’s foreign exchange market and restore confidence amid fluctuating exchange rates.