The Central Bank of Nigeria yesterday unified all exchange rates within the economy’s reach into the Investors and Exporters (I&E) window. In line with President Bola Tinubu’s promise to unify the multiple exchange rate in the market, the Central Bank of Nigeria (CBN) has granted commercial banks and dealers in the forex market freedom to sell forex at a market-determined rate.
All transactions will now be done through the Investors and Exporters (I&E) window, where the exchange rate will be determined by market forces, calculated to two decimal places.
The idea behind this move is to promote development, remove corruption, increase Forex inflow, and most importantly, boost economic development.
This will cause a competitive structure amongst banks as well as cause a massive collapse of the black market all around the country
The unification of exchange rates would lead to a more transparent forex market, in a way that it would not cause massive distortions in the general price level.
The policy would facilitate the mopping up of naira liquidity in the economy in the short to medium term.
Official operational hours of trades shall be from 9 am to 4 pm, Nigeria time.