LAGOS May 10 Nigeria's central bank plans to
auction an undisclosed amount of dollars on Wednesday through
book building to settle a backlog of demand for airlines, fuel
and raw material imports, traders said.
Traders said the central bank had asked lenders to bid for
hard currency for specific sectors in efforts to improve dollar
It said a cut-off rate at the auction would be applied at
the marginal rate and that obligations due on fuel imports must
have matured before Jan. 31 to qualify for the intervention.
The bank has been intervening aggressively since February to
try to narrow the spread between the official and black market
rates and has sold more than $4 billion. In theory, greater
liquidity should lead rates to converge.
The local currency was quoted at 381.71 per
dollar at the investor window, according to the market regulator
FMDQ OTC Securities Exchange. It fetched 305.60 in the interbank
window and 390 on the black market.
(Reporting by Oludare Mayowa; Editing by Chijioke Ohuocha and