Category Archives: Forex
CBN cuts down minimum interest rate on savings deposit
In a directive to banks signed by Bello Hassan, Director of Banking Supervision CBN “All deposit money banks are hereby informed that effective September 1, 2020, interest on local currency savings deposit shall be negotiated subject to a minimum of 10 percent of Monetary Policy Rate (MPR)”. This cuts down the savings interest rate from 3.9 percent to 1.25 percent per annum.
Dollar Falls To N430 at BDC Market
Ahead of business reopening on Monday as the Central Bank of Nigeria(CBN) is set to resume forex sales after a long pause due to the imminent lockdown necessitated by the COVID-19 pandemic, Naira seems to be gaining momentum again with an uptrend in value since the beginning of the week.
Naira Devaluation: Possible Effects on SMEs and the way out
The recent devaluation to N381, which follows the devaluation from N307 to N360 in March will be more brutal for SMEs and startups especially with the COVID-19 crisis still very much in the picture. This is because they will have to pay more on transactions and loans without any compelling increase in revenue.