ABCON hinges Naira stability on partnership with CBN
The partnership, which facilitated foreign exchange supplies and sustenance of market integrity, leading to significant reduction of currency hoarding, helped the Naira stabilise.
The Association of Bureaux De Change Operators of Nigeria (ABCON), said it worked together with the apex bank in the course of the year to achieve exchange rate stability, which is one of the agenda set by the CBN Governor, Godwin Emefiele, at the beginning of his tenure.
ABCON President, Aminu Gwadabe, while briefing newsmen in Lagos, pledged that the partnership between both institutions will continue in the New Year, to make Naira sovereign in the foreign exchange market.
“The opening market rate N360/361 to dollar on the two-way quote has been stable. This sustained stability made BDCs to continue to be the potent monetary policy tool of CBN exchange rate managements,” he said.
According to him, the market distortions by speculators, rent seekers, currency hoarders and frivolous demand that usually endangered Naira have been successfully checkmated and no longer profitable to attack Naira in the market.
The foreign exchange rates collected across different markets and released yesterday by ABCON showed that last year’s closing rates in Lagos for buying/selling rates for dollar stood at N358/359.5; Pounds Sterling, N452/N457 and Euro N404/N409.5.
In Port Harcourt, dollar buying/selling rates closed the year at N359/361; Pounds Sterling, N457/N464 and Euro N405/N408.
In Abuja, dollar buying/selling rates closed last year at N359/360; Pounds Sterling, N464/N467 and Euro N407/N410, while in Kano, dollar buying/selling was N359/360; Pounds Sterling, N465/N472 and Euro N407/N411.
Gwadabe said that ABCON last year created Naijabdcs.com, a live rate engine room created to provide uniform rate for all BDCs across the country.
“It was created by ABCON to bring about price discovery and transparency in the foreign exchange market. The portal has the support of the CBN, commercial banks, Economic and Financial Crimes Commission (EFCC), Nigeria Financial Intelligence Unit, Travelex, over 4,000 BDC operators among others,” he said.
Gwadabe noted that the App can now be downloaded from the Google Play Store, adding that being on the Google Play puts Niajabdcs.com in front of billions of people using active Android devices around the world.
He said the local currency stability has also been achieved in the official market, where the exchange rate closed the year at N307 to dollar despite huge campaign spending by political parties.