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Nigeria Trading Exchange Calls on Central Bank to Free Naira

  • ‘Moral suasion’ used to bolster currency, FMDQ’s Onadele says
  • Bank CEOs wary of being ‘reprimanded’ over naira trades
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Photographer: Pius Utomi Ekpei/AFP via Getty Images
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The head of Nigeria’s foreign-exchange trading platform said the central bank is using “strong moral suasion” to prevent the naira from depreciating to a market-related level, and called on the regulator to let the currency float freely.

The market’s dysfunction is hindering the country’s economic recovery by deterring inflows from foreign investors and hurting manufacturers dependent on imports, according to Bola Onadele, the chief executive officer of Lagos-based FMDQ OTC Securities Exchange. FMDQ started operations in 2013 and its chairman is Sarah Alade, deputy governor of the central bank.