The Central Bank of Nigeria (CBN) has intervened in the foreign exchange market with a $197.71 million injection to authorised dealers, following a sharp decline in global oil prices triggered by new U.S. trade tariffs.
Crude prices dropped by over 12%, settling at around $65.50 per barrel, down from over $70, after President Donald Trump imposed sweeping tariffs on multiple countries. OPEC data showed the oil basket price fell to $75.35 on Thursday, down from $77.44 the previous day.
Nigeria, which depends on crude oil exports for 90% of its foreign exchange earnings, is vulnerable to such fluctuations.
In a statement issued on Sunday, the CBN said its action—conducted on Friday—aimed to ensure market stability and sufficient liquidity, in line with its broader objective of maintaining a transparent and efficient forex market.
The apex bank attributed the recent currency market shifts between April 3 and 4 to broader global macroeconomic trends, particularly those affecting emerging and developing economies in response to the U.S. tariff move.
“These global developments have ushered in a period of market adjustments,” the CBN noted, “with falling crude oil prices presenting new challenges for oil-dependent nations like Nigeria.”
