Foreign portfolio investors (FPIs) would not be barred from participating in the Open Market Operations (OMO) auctions, Central Bank of Nigeria (CBN) Governor, Mr. Godwin Emefiele, has said.
Emefiele, in a telephone interview with Thisday, highlighted the importance of portfolio inflows to the economy, saying that forex liquidity plays an important role in supporting economic growth.
He spoke against the backdrop of a report by Bloomberg on Tuesday, which quoted CBN’s Director of Monetary Policy, Mr. Hassan Mahmud, as saying in an interview aired during an online conference in Abuja that the bank was preparing to end an era of debt sales that handed foreign investors one of the best returns in Africa.
Bloomberg had quoted Mahmud as saying that offerings to non-residents of OMO bills are to be phased out, “once current obligations have been redeemed.”
But Emefiele said there was no truth in the Bloomberg report just as he ruled out excluding FPIs from the OMO auctions.
According to him, the CBN considers FPIs as one of its important stakeholders and partners in the running of the forex market and the financial market
(Thisday)
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