The Central Bank of Nigeria (CBN) has removed restrictions on banks’ access to its Standing Lending Facility (SLF) arising from participation in the Nigerian Foreign Exchange Market (NFEM) and primary auctions of government securities.
The apex bank disclosed the changes in a circular signed by CBN’s Acting Director, Financial Markets Department, Okey Umeano, on Wednesday.
The review followed an assessment of developments and existing market practices in the foreign exchange, money, and fixed-income markets, as well as the frameworks governing access to the SLF, Tenored Repo Operations, and participation in Open Market Operations (OMO).
The apex bank said the existing restriction on institutions accessing the Discount Window from participating in OMO auctions on the same day would, however, remain in force.
“Restrictions on access to the Discount Window arising from participation in the Nigerian Foreign Exchange Market (NFEM) are hereby removed,” CBN said.
