Governor of the Central Bank of Nigeria (CBN), Yemi Cardoso, said Nigerian National Petroleum Company (NNPC) Limited, like every “other customer,” is free to buy dollars from the foreign exchange market without any encumbrance.
The CBN boss spoke yesterday at an engagement of Nigeria’s delegation with foreign investors on the sidelines of the ongoing World Bank/International Monetary Fund (IMF) Annual Meetings in Washington DC.
Standard Chartered Bank, Goldman Sachs, and JP Morgan were represented at the event, which was briefed by Cardoso, Director-General of the Debt Management Office, Patience Oniha; Director-General of the Budget Office of the Federation, Tanimu Yakubu; Permanent Secretary, Federal Ministry of Finance, Lydia Jafiya, and others.
He was reacting to questions on the role the authority plays in the reported mop-up of FX by NNPCL to clear its outstanding obligations, ensuring that its participation does not cause significant volatility.
Cardoso told the participants, “whether NNPCL buys dollars from the open market or somewhere else is its decision to make.”
The regulator, however, was not worried about the market’s current volatility, saying there would be more interest in the local currency owing to improved outlook and demand for local debt instruments.
