FrontCBN Orders Banks To Publish All Forex Transactions On FMDQ
Page 1 of 1 • Share
- Paradise
Administrator
Gender : Male
Time Online : 8d 3h 36m 31s
State : Ebonyi
My Club : 
Posts : 1080 Posts Liked : 381
Awards :
Paradise Tue 26 Jul 2016, 7:14 am
The Central Bank of Nigeria (CBN) has ordered banks to publish details of all foreign exchange transactions on the Financial Market Dealers Quote (FMDQ) platform.
Meanwhile the naira depreciated by 1.5 percent (N4.5) at the interbank foreign exchange market for spot transactions. From N305.25 per dollar at the end of transactions on Friday, the exchange rate for spot transactions dropped rose to N309.84 per dollar at the close of business yesterday. But at the parallel market the naira remained relatively stable as the parallel market rate stood at N376 per dollar.
Announcing the directive of the CBN in an email to foreign exchange dealers, Managing Director/Chief Executive FMDQ, Mr. Bola Onadele said, “Banks should “update all trades irrespective of the exchange rate.
“The CBN is very interested in credible price formation for the spot foreign-exchange market. It is also imperative for price discovery and liquidity assessment of our market, which are key to activate foreign portfolio investment flows”, he said Banks should publish all their so-called “off-line trades” on its trading system “within 30 minutes of execution of such transactions,” according to a separate e-mail sent to dealers by FMDQ on the same day. The naira fell 3.9 percent, the most since the devaluation, to 305.25 on July 22, the day after Onadele’s e-mails. It rose 2.9 percent to 296.75 by 2:38 p.m. in Lagos on Monday.
Nigeria has struggled to attract foreign money into its bond and equity markets since devaluing the naira by 30 percent on June 20, ending a 16-month peg of 197-199 per dollar, with investors concerned the central bank was still controlling the exchange rate. FMDQ started operations in 2013 and is chaired by Sarah Alade, deputy governor of the CBN.
Meanwhile the naira depreciated by 1.5 percent (N4.5) at the interbank foreign exchange market for spot transactions. From N305.25 per dollar at the end of transactions on Friday, the exchange rate for spot transactions dropped rose to N309.84 per dollar at the close of business yesterday. But at the parallel market the naira remained relatively stable as the parallel market rate stood at N376 per dollar.
Announcing the directive of the CBN in an email to foreign exchange dealers, Managing Director/Chief Executive FMDQ, Mr. Bola Onadele said, “Banks should “update all trades irrespective of the exchange rate.
“The CBN is very interested in credible price formation for the spot foreign-exchange market. It is also imperative for price discovery and liquidity assessment of our market, which are key to activate foreign portfolio investment flows”, he said Banks should publish all their so-called “off-line trades” on its trading system “within 30 minutes of execution of such transactions,” according to a separate e-mail sent to dealers by FMDQ on the same day. The naira fell 3.9 percent, the most since the devaluation, to 305.25 on July 22, the day after Onadele’s e-mails. It rose 2.9 percent to 296.75 by 2:38 p.m. in Lagos on Monday.
Nigeria has struggled to attract foreign money into its bond and equity markets since devaluing the naira by 30 percent on June 20, ending a 16-month peg of 197-199 per dollar, with investors concerned the central bank was still controlling the exchange rate. FMDQ started operations in 2013 and is chaired by Sarah Alade, deputy governor of the CBN.
Similar topics
» Naira To Reverse Losses This Week, Banks To Process FX Transactions Within 24hrs
» Court Orders Okonjo-Iweala To Account For Missing N30tn
» I Can Make Billions Via Forex Without Sweat Sitting In My Palace – Emir Sanusi
» Senate Orders Arrest Of CEOs Of Glo, Crown Flour Mills 28 Others
» Economic Crisis: We Won’t Bail Out Banks With Public Funds – FG
» Court Orders Okonjo-Iweala To Account For Missing N30tn
» I Can Make Billions Via Forex Without Sweat Sitting In My Palace – Emir Sanusi
» Senate Orders Arrest Of CEOs Of Glo, Crown Flour Mills 28 Others
» Economic Crisis: We Won’t Bail Out Banks With Public Funds – FG
Create an account or log in to leave a reply
You need to be a member in order to leave a reply.
Page 1 of 1
Permissions in this forum:
You cannot reply to topics in this forum