With oil prices staying at Nigeria’s 2019 budget assumption of $60, Reuters reports that foreign investors are cashing in on profits of 2018 and exiting the country’s money market.
The news agency reports that a one-year open market bill sold for 12 per cent in July, in contrast to 18 per cent the evious year.
Foreign investors have been selling the naira weaker in order to meet their orders, causing the local currency to drop from N362.80 to N3pr63.50.
“There hasn’t been supply in a while, foreign investors are exiting,” a trader told the news agency.
Another trader informed Reuters that the Central Bank of Nigeria had been selling dollars to international investors to keep the naira quoted in an orderly manner.
Oilprice.com reports that petroleum prices started a decline on Monday.