Nigerian naira ends lower despite central bank intervention

Nigeria's naira ended weaker against the dollar on Wednesday despite the central bank selling U.S. currency towards the close of trading to boost liquidity.
The bank has been intervening almost daily in the interbank market since the start of the year as liquidity is very low due to depressed foreign investment as Nigeria's economy has been hit by plunging oil prices. That has sent the naira to record lows.
On Wednesday the bank intervened just minutes before the close of trade, sending dealers scrambling to buy dollars from the interbank market and getting different rates.
As a result, dealers quoted a closing range for the naira,
of 190.10 to 192.40 to the dollar, rather than a single rate.
Dealers were quoting the naira at 192.30 to the dollar just before the intervention. On Tuesday it closed at 189.15.
The naira has remained under pressure as the price of oil, Nigeria's main export has plunged. The currency has stayed well below a trading band of 160 to 176 to the dollar, set after the central bank devalued the naira by 8 percent in November.
Intervention to support the naira has also been aimed at curbing speculation.
On Tuesday the central bank said it would sell $30,000 to each of more than 2,500 bureau de change operators on Friday to increase dollar liquidity. Last month it doubled the amount it sells at weekly auctions to bureau de change agents to $30,000.
Dealers said Italian oil company ENI was also in the market on Wednesday, selling $24 million to some banks.