The Central Bank of Nigeria (CBN) has announced a comprehensive review of its Discount Window restrictions and the framework governing participation in Open Market Operations (OMO). The policy changes were disclosed in a circular signed by the apex bank's Acting Director of the Financial Markets Department, Okey Umeano, on Wednesday.

Under the revised guidelines, the CBN has removed the foreign exchange transaction restrictions on access to the Discount Window that previously arose from participation in the Nigerian Foreign Exchange Market and primary auctions of government securities. Additionally, the apex bank confirmed that the suspension of tenored Repurchase (Repo) transactions has been officially lifted, with the entire review taking immediate effect.

However, the CBN noted that certain regulatory controls remain in place. The existing restriction on participation in OMO auctions by financial institutions accessing the Discount Window on the exact same day will continue to remain in force.

The apex bank stated that the latest adjustments followed a careful review of prevailing market practices and recent developments across the foreign exchange, money, and fixed-income segments of the financial system. The comprehensive review also encompasses the framework governing access to the Standing Lending Facility and tenored Repo operations.