On Thursday, the naira exchanged between N405 and N420 to a dollar in the Bureau De Change segment of the market .
The President, Association of Bureaux De Change Operators of Nigeria, Aminu Gwadabe, said the crude oil price which fell drastically in the international market to as low as $35 per barrel , raised speculations among the BDC operators and Nigerians in general.
He said this caused speculations in the market which were not necessary.
Gwadabe said , “ With the fall in oil crude oil prices on Monday , we witnessed a lot of foreign investors portfolio dropping their assets, most especially to convert to cash.
“ The movement was as a result of recklessness on the side of the operators, when they want to speculate , but there is no reason for such because the Central Bank of Nigeria had continued to maintain support for liquidity to the BDC sub -sector . ”
While noting that the dollar sold for as high as N 400, he said sanity was gradually returning to the sector as it sold for N 375 by the close of the day.
According to him , the CBN had maintained stability at N 360 in more than three years.
He said in its meeting with the CBN on Thursday, the regulator warned the BDCs against contraventions.
The ABCON president disclosed that the CBN wanted to revoke the licences of some BDCs for various infractions but fined over 100 BDCs over N 5m for various offences.
Another BDC operator who spoke with our correspondent said , “ When we woke up on Monday , the exchange was still about N 360, but all of a sudden, because of the fall in crude oil price , people were panicky.
“ Today , we still sold for up to N420 but the price was fluctuating. ”
The CBN also expressed its displeasure on the issue in a statement, saying the speculative activities of unscrupulous players in the foreign exchange market was borne out of the impression that the CBN was on the verge of devaluing the Naira, and triggering panic in the FX Market .
“ These rumours are false, unwarranted and calculated to serve their dubious and selfish ends, ” it stated .
It added, “ We have begun a robust and coordinated investigation in collaboration with the Nigerian Financial Intelligence Unit and related agencies to uncover the unscrupulous persons and FX dealers who are creating this panic , and the full weight of our rules and regulations will be meted out to them, including, but not limited to , being charged for economic sabotage . ”

source: https://punchng.com/naira-crashes-in-value-dollar-sells-for-n420/

Expected

Shore up funds, buy Gold, fellas!!.
It's another torid season economically.

Foreign reserves at $36billion. This is close to the $30b threshold for CBN to enter panic mode. Also, our budget is benchmarked on I think what again sef... that benchmark is under threat too.

Crude Oil benchmark for Nigeria's 2020 budget is $57 per barrel. We just need to diversify mhennn... Some people in Government are maaaadddd

"OPEC deal collapse sparks price war : $20 oil in 2020 is coming "


https://www-cnbc-com.cdn.ampproject.org/c/s/www.cnbc.com/amp/2020/03/08/opec-deal-collapse-sparks-price-war-20-oil-in-2020-is-coming.html


Is My Darling Country ready to sail or bust with crude oil set to further plummet to $20 per barrel?

It's just so negative all around for now, but we're going to see it through.

Naija ma dun, no negotiations.!!!

ok