The Central Bank of Nigeria CBN has announced the release of $500m to various sectors as it moves to address the backlog of verified foreign exchange transactions.
CBN Acting Director, Corporate Communications Department, Mrs Hakama Sidi-Ali, who made this known in a statement on Monday in Abuja, said the move is coming barely a week after the CBN paid around $2bn to settle outstanding commitments across various sectors.
Hakama Sidi-Ali further noted that the CBN is on the mandate of settling all legitimate foreign exchange backlogs within a short time frame.
According to her, the apex bank had initiated the implementation of
She said the CBN had initiated the implementation of a comprehensive strategy that will help improve liquidity in the Nigerian foreign exchange markets in the short, medium, and long terms.
“As the Governor said, the CBN’s focus is on addressing fundamental issues that have hindered the effective operation of the Nigerian FX markets over the years,” she said.
Sidi-Ali also said that the forex market reforms were designed to streamline and unify multiple exchange rates, foster transparency, and reduce arbitrage opportunities, even as she expressed confidence that a stable exchange rate would boost investor confidence and attract foreign investment.
Hakama Sidi-Ali further urged all participants in the market to play by the rules, adding that transparency in the market would enable the fair determination of exchange rates.
