The Nigerian currency reportedly plunged to a new low versus the U.S. dollar on the official market on Jan.25. Central Bank governor Olayemi Cardoso has said the naira is currently “undervalued” and that efforts are underway to rectify this. Official and Parallel Market Exchange Rates Nearly Converge The beleaguered Nigerian currency has plunged to a…
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The Bank of Ghana recently pointed the finger at eight money transfer organizations which are allegedly operating in Ghana’s remittances and forex market without its approval. The central bank also warned the public and regulated financial institutions against having dealings with the eight firms. Eight Firms Did Not Adhere to the Requirements of the Foreign…
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The Nigerian central bank has dismissed rumors suggesting that the previously demonetized naira banknotes are no longer legal tender. According to the bank, all banknotes it has ever issued remain legal tender and “should not be rejected by anyone.” No Shortage of Naira Banknotes Says the Central Bank The Central Bank of Nigeria (CBN) has…
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A Nigerian official recently said the foreign exchange-starved country plans to include “legitimate” market participants like bureaux de change and financial technology companies in the official forex currency market. Finance Minister Wale Edun also said the country will receive $10 billion in inflows in the next few weeks. Nigeria Contemplates Outlawing Forex Parallel Market Nigeria…
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The Nigerian central bank said on Oct. 12 that it had lifted foreign exchange restrictions imposed on the importation of 43 items. The central bank said the restrictions initially imposed in 2015 may have contributed to the weakening of the naira on the parallel foreign exchange market. Unifying the Naira’s Multiple Exchange Rates The Central…
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The Bank of Tanzania said on Sept. 25 that it has kickstarted an initiative that seeks to boost the country’s foreign exchange reserves by buying gold with local currency. The bank said its objective is to acquire six tonnes of gold from miners and traders in 2023 alone. The Tanzanian Gold Reserve The Tanzanian central…
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According to a report, the central banks of Ethiopia and Nigeria recently consummated a $100 million currency swap transaction. Under the arrangement, an Ethiopian airliner was paid local currency equivalent to $100 million while Dangote Cement is said to have received a similar amount of nairas. Ongoing U.S. Dollar Shortages The central bank of Ethiopia…
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The Nigerian currency’s official exchange rate versus the greenback recently plunged to NGN634 per dollar from just under NGN470 per dollar. The central bank’s decision to allow the naira to “float” came a few weeks after Nigerian president Bola Ahmed Tinubu pledged to end the CBN’s multiple exchange rate regime. The Naira Devaluation The Nigerian…
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The Tanzanian central bank said on May 31 that foreign currency dealers are required to trade all transactions that exceed $1,000,000 within “interbank foreign exchange market prevailing quoted prices.” According to the Bank of Tanzania, the latest directives are intended to “foster macroeconomic stability and safeguard the stability of the financial system.” Forex Dealers Must…
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According to a report from South Korea, the Korean subsidiary of Huobi Global is planning to cut ties with the parent company. The management of the trading platform stated that they plan to “strengthen its position” as a domestic cryptocurrency exchange and change its name. Huobi Experiences Significant Withdrawals as Subsidiary Huobi Korea Looks to…
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