After weeks of gradual build-up, Nigeria’s external reserves have begun
to deplete again, dropping by $30.23 million as foreign investors exit
the Nigerian markets.
The reserves had dropped to $27.858 billion
within 11 days as at Friday, April 1, 2016 from $27.888 billion which
it was on March 21, 2016.
The reserves had gradually risen since early February when it reached $27.894 billion.
Foreign
investors repatriating profits and others exiting the Nigeria equities
and bond markets had
last week triggered a rise in foreign exchange
disbursement by some banks.
Many of the investors, after liquidating their investments, secured forex to repatriate their funds through Stanbic IBTC Bank.
The lender disbursed $19,305,571.50 to 68 customers, according to published disbursement data for last week.
JPM London secured $3,331,564.24 from Stanbic IBTC for its divestment of equities and Federal Government of Nigeria (FGN) Bonds.
There was also $2,010,690.01 disbursed to State Street/Stanbic Nominees-E by the lender for the same purpose.
BP2S/BNP
Pribas obtained $130,167.61; Standard Bank of South Africa,
$541,671.31; Merrill Lynch International $63, 767.89; HSBC Funds
Services London, $394,210.30; and The Bank of New York Mellon 2,
$206,317.82.
The foreign investors have been pressurising the
Central Bank of Nigeria (CBN) to devalue the naira, which it has
vehemently resisted. Last week’s repatriation of investments is expected
to continue in the months ahead as the margin between the official
exchange rates has continued to widen.
Source:The Leadership
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