The need to increase Dollar (USD) liquidity in the retail side of things has finally forced the CBN to increase weekly sales of forex to Bureau de Change, BDC operators from USD30,000 to USD50,000 weekly.
Last week, the CBN had announced that all BDCs will be entiitled to only USD30,000 weekly through designated banks.
The result of the decision has not quench the thirst for Forex, increasing volatility of the Naira to all year highs.
Because the CBN cited the fact that the decision was based on the rationale that many people would need Forex for foreign trips, the benchmark might be decreased once demand tapers.
