There are strong indications that the sustained increase in foreign portfolio buying interest in the fixed income market, stable oil prices and output have continued to favour increased foreign exchange (forex) earnings and largely responsible for the accretions to the forex reserves.
During the week, there was faster growth in foreign reserves levels as it rose further by US$30.4million in the week, pulling the foreign reserves up to US$44.84billion as at May 5,2019, relative to US$44.79billion in the prior week.
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In a similar development, total subscriptions in the Financial Markets Dealers Quote (FMDQ) Over the Counter (OTC) futures market increased 3.8per cent when compared week by week to US$8.7billion from US$8.4billion based on investor buying interest in the July 2019 instrument, which was up 17.1per cent to US$392.8million from US$335.2million in the prior week.
Dealers expect that a stable trading of the naira across markets will remain unchanged.
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