October 02, (THEWILL) – The Central Bank of Nigeria (CBN) has revealed that the economy recorded $10.7 billion aggregate foreign exchange inflow in April and May 2023
The CBN, which disclosed this in its May economic report on foreign exchange flows through the economy, said the country recorded a higher net foreign exchange inflow in May relative to the preceding month.
“Foreign exchange flow through the economy recorded a net inflow of $3.59 billion, compared with $2.02 billion in the preceding period.
“Aggregate foreign exchange inflow into the economy increased by 29.1 percent to $6.03 billion, from $4.67 billion in the preceding month. However, foreign exchange outflow fell by 8.2 percent to $2.44 billion from $2.65 billion in the preceding month,” the report stated.
According to the CBN, foreign exchange inflows through the Bank decreased by 27.9 percent to $1.70 billion, from $2.36 billion in April while outflow through the Bank fell by 15.2 percent to $2.03 billion, from $2.39 billion in April.
“As such, the CBN recorded a net outflow of $0.33 billion, compared with a net outflow of $0.03 billion in the preceding month,” the report revealed.
It added that autonomous inflow increased by 87.2 percent to $4.33 billion from $2.31 billion in the preceding month.
Similarly, autonomous outflow increased to $0.41 billion from $0.26 billion in April.
Consequently, a net inflow of $3.92 billion was recorded, compared with $2.05billion in April.
Analysts attribute the forex inflow increase to the forex market liberalization policy of the Nigerian government which saw the abolition of multiple forex segments on April 14, 2023.
About the Author
Sam Diala is a Bloomberg Certified Financial Journalist with over a decade of experience in reporting Business and Economy. He is Business Editor at THEWILL Newspaper, and believes that work, not wishes, creates wealth.
