CBN Pegs Dollar Exchange Rate At N198

In a bid to reduce pressure on the naira, which has come under speculative attacks in recent weeks, the Central Bank of Nigeria on Wednesday announced the closure of the Retail and Wholesale Dutch Auction Systems of the foreign exchange market.

This was confirmed in a statement issued by the Director, Corporate Communications Department, CBN, Mr. Ibrahim Mu’azu.

In taking the step, the central bank was said to have fixed the exchange rate of the naira to the dollar at 198, which is N30 above its N168 (+/-5 per cent) rate.

As a result of the plunge in global oil prices, the CBN had in November devalued the naira by eight per cent as it officially pegged the currency at 160-176 to the dollar.