The Central Bank of Nigeria (CBN) yesterday directed Deposit Money Banks (DMB) to sell dollars at the rate of N360 to $1 for Basic Transport Allowance (BTA), Personal Transport Allowance (PTA) medical and school fees customers.
The CBN in a move to further crash the dollar, released the sum of $185 million into the market. Deposit Money Banks (DMBs) got $85 million at the rate of N 357/$1 for onward sale to retail end-users at not more than N360/$1.
$100 million went to authorized Forex dealers in the interbank wholesale window to meet the requests of genuine wholesale customers.
The CBN’s Acting Director of Corporate Communications, Mr. Isaac Okorafor, who made the disclosure, said the rates in the interbank window for wholesale transactions would still be determined by activities in the interbank market.
He disclosed further that all banks had also been directed to immediately post the new N360/$1 rate on electronic display boards in the banking halls of their branches, adding that examiners from the CBN would visit banks to ensure the new rates are implemented.
Okorafor reiterated the apex bank’s directive to all banks to process and meet the demand for Travel Allowances (PTA/BTA) by end-users within 24 hours of such application, while applications for school fees and medical bills were to be met within 48 hours of such application.
He warned that the new move, aimed at further easing access of genuine end-users to forex, prohibited banks from selling foreign exchange funds meant for invisibles to Bureau De Change.