The FMDQ Securities Exchange has hailed the Naira settled OTC FX futures market being facilitated by the Central Bank of Nigeria (CBN) calling it an innovative product helping to oil the Nigerian economy.
In a statement yesterday, the exchange said “the development of a vibrant market to effectively hedge risks remains pivotal to the development of any country and Nigeria, being one of the frontier economies in the global financial markets space, is undoubtedly an exploratory gold mine for hedging transactions.
“Recent regulatory reforms, led by the Central Bank of Nigeria (CBN) and the associated market activities, have supported the introduction of these products, creating awareness and encouraging their trading, with the market environment raking in positive results.
According to FMDQ, “the CBN, having recognised the importance of such strategic market development focus for the Nigerian FX market, supported and kicked off activities in this regard, with the launch of the Naira-settled OTC FX Futures derivatives product in June 2016.
