Victor EzejaThe Central Bank of Nigeria (CBN) Governor, Olayemi Cardoso, on Tuesday, disclosed that the CBN has paid out an additional $400 million to settle forex backlog owed.
Cardoso disclosed this at a press briefing after the 293rd Monetary Policy Committee (MPC) on Tuesday, 27 February 2024 in Abuja.
Join our WhatsApp ChannelPrime Business Africa reports that the CBN governor had while speaking during a media interview recently, stated that he met over $7 billion in backlogs owed. Out of it, he said the apex bank had cleared $2.3 billion, with $2.2 billion still outstanding, while around $2.4 billion remains controversial as they could not be backed up with official claims.
Addressing journalists in a live briefing monitored by Prime Business Africa, Cardoso said they are committed to paying only genuinely verified backlog.
“In terms of the backlogs, we are committed to clearing backlogs of identified and genuine requests that are pending,” the CBN governor stated.
“We paid out $400 million to those that have been so identified and we are committed to continue to do so in one form or the other to those that are genuinely identified and proven cases. It is not in our interest to hold back on paying those who have been so identified.”
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There have been controversies around forex backlogs owed different entities, especially foreign airlines who have been lamenting about their inability to repatriate their funds in foreign currencies.
The CBN has been battling the forex crisis in the country in a bid to strengthen the value of the naira.
As the exchange rate continues to rise, with the naira to dollar rate rising to N1,900 at some point before dropping to about N1,500 in the official market, the CBN has in recent times come up with different policies aimed at increasing liquidity in the forex market and saving the local currency’s value from further decline.
Speaking on cases of infractions in the foreign exchange market, which is contributing to the forex crisis, the CBN boss said they are collaborating with security agencies to unravel where such is taking place and stopping it.
Cardoso added that the apex bank is moving towards a very aggressive regulatory environment where there will be zero tolerance for noncompliance.
“We want to make the market more liquid and ensure that those who are genuine and are ready to abide by the regulations of the Central Bank will be free to do so, and those who do not, should be ready to face the consequence,” Cardoso said.
Victor Ezeja is a passionate journalist with six years of experience writing on economy, politics and energy. He holds a Masters degree in Mass Communication.
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