The Central Bank of Nigeria (CBN) has injected $500 million into various sectors to address the backlog of verified foreign exchange transactions.
This move comes shortly after the CBN settled approximately $2.0 billion in outstanding commitments across manufacturing, aviation, and petroleum sectors just a week ago.
Mrs. Hakama Sidi Ali, the acting Director of the Corporate Communications Department at the CBN, disclosed this development on Monday in Abuja. She emphasized the commitment of the CBN’s management to expeditiously resolve all legitimate foreign exchange backlogs.
Ali reiterated the central bank’s comprehensive strategy to enhance liquidity in the Nigerian foreign exchange markets in the short, medium, and long term.
In line with Governor Olayemi Cardoso’s vision for the CBN, Ali highlighted that the focus is on addressing fundamental issues that have historically impeded the effective operation of the Nigerian FX markets. The ongoing forex market reforms aim to streamline and unify multiple exchange rates, promote transparency, and minimize arbitrage opportunities.
Expressing confidence that a stable exchange rate will boost investor confidence and attract foreign investment, Ali urged all market participants to adhere to regulations. She stressed that market transparency is crucial for the fair determination of exchange rates, ultimately ensuring stability for businesses and individuals.