The Central Bank of Nigeria (CBN) has flooded commercial banks with dollars. And Now banks are reported to be holding excess forex and were seeking customers to buy the foreign currencies.
The banks have cleared the backlog of requests for foreign currencies for basic travel allowance, school fees and medicals.
A banker told newsmen that his bank had so much dollars that its marketers were asked to encourage customers to request for the greenback.
Doing so would force the CBN to reduce the quantity of Forex sold to the bank.
Another source from First Bank said following the CBN intervention, the bank had succeeded in clearing all pending requests for Forex as far back as September, 2016.
Also, a source in Guaranty Trust Bank commended the decision of the CBN to flood the market with Forex, thereby allowing the banks to meet legitimate requests from its customers.
“We have more than enough foreign exchange to meet the request of our customers for school fees and others.”
In a data released by the CBN, the apex bank, within three weeks, injected more than 1.4 billion dollars for both wholesale and retail intervention into the interbank Forex market.
Mr Ayo Teriba, Chief Executive Officer, Economic Associates, is optimistic that the CBN would be able to sustain its intervention on the forex market.
“We are back to a situation where the forex at the disposal of the CBN is likely to go up.
“The CBN could not intervene in the forex market in 2016 because of low oil production, prices and because foreign reserves were also low.
“Today, oil price is up, reserves have also gone up, the outlook of the oil prices is stable and production in Nigeria is going back to capacity; so it has the capacity to intervene.
“In a couple of months, the apex bank should be able to meet all of the demands and all the multiple exchange rates will convere.”