Nigeria’s apex bank, the Central Bank of Nigeria (CBN), has vowed to tackle and address issues of continuous fall in the value of naira and foreign ex
Nigeria’s apex bank, the Central Bank of Nigeria (CBN), has vowed to tackle and address issues of continuous fall in the value of naira and foreign exchange.
The CBN has also advised Nigerians to resist the urge of succumbing to speculative activities of some players in the foreign exchange market in the face of rising demand for foreign exchange for both goods and services by Nigerians.
Director of Corporate Communications of CBN, Mr Osita Nwanisobi, in a statement made available to newsmen on Friday, said the CBN remained committed to resolving the foreign exchange issues confronting the nation and had been working to manage both the demand and supply side challenges.
According to him, CBN would continue to make deliberate efforts in the foreign exchange sector to avert further downward slide in the value of the naira fuelled by speculative tendencies.
While admitting that there was huge demand pressure for foreign exchange to meet the needs of manufacturers as well as those for the payment of tuition, medical fees and other invisibles, Nwanisobi said the CBN was concerned about the international value of the naira.
He said the monetary authority was strategising to help Nigeria earn more stable and sustainable inflows of foreign exchange in the face of dwindling inflows from the oil sector.
”Recent initiatives undertaken by CBN such as the RT200 FX Programme and the Naira4Dollar rebate scheme had helped to increase foreign exchange inflows to the country.
”Records have showed that foreign exchange inflows through the RT200 FX Programme in the first and second quarters of 2022 increased significantly to about $600m as at June 2022″, he said.
The CBN spokesperson disclosed that the Naira4Dollar incentive also increased the volume of diaspora remittances during the first half of the year.
He said interventions such as 100 for 100 Policy on Production and Productivity, Anchor Borrowers’ Programme and the Non-Oil Export Stimulation Facility, among others, were also geared towards diversifying the economy, enhancing inflow of foreign exchange, stimulating production and reducing foreign exchange demand pressure.
Reiterating an earlier position of the CBN Governor, Mr Godwin Emefiele, he urged Nigerians to play their roles by adjusting their consumption patterns, looking inwards and finding innovative solutions to the country’s challenges.
According to him, monetary policy alone could not bear all the burden of the expected adjustments needed to manage the challenges around Nigeria’s foreign exchange.
By: Corlins Walter
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