The Central Bank of Nigeria (CBN) has released fresh $500m to various sectors of the economy to address the foreign exchange (FX) challenge.
The Acting Director, the Corporate Communications Department of the CBN, Hakama Sidi-Ali, stated this in Abuja yesterday.
According to Sidi-Ali, this comes barely a week after the apex bank paid approximately $2 billion to settle outstanding commitments across various sectors. She said that the management of the CBN was committed to settling all legitimate foreign exchange backlogs within a short time frame.
She said the CBN had begun implementing a comprehensive strategy to 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.
Meanwhile, Sidi-Ali said that the FX market reforms were designed to streamline and unify multiple exchange rates, foster transparency, and reduce arbitrage opportunities. She expressed confidence that a stable exchange rate would boost investor confidence and attract foreign investment.
She 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.