The Central Bank of Nigeria (CBN) said on Thursday that some commercial lenders have breached its regulatory limit of foreign currency borrowings due to the recent fall in the value of the naira.
In a remedial action, the regulator increased the foreign currency borrowing limit for lenders to 125 percent of their respective shareholders’ fund from 75 percent previously.
This action was taken in a bid to save the countries FOREX. The Central Bank of Nigeria, CBN has contined its intervention in the Nigerian foreign exchange market in an attempt to save the Naira from losing all its value.
The activities of the Central Bank of Nigeria, (CBN) yeilded had a strong positive impact in the month of march as it saw the Naira rise from 520 Naira per dollar to 390 Naira per Dollar. Though this month (April 2017) as seen the Naira fall yet again to the dollar as it is currently exchanged for 410 Naifa per dollar.