The Central Bank of Nigeria is currently conducting a re-validation exercise to address concerns from manufacturers and importers regarding foreign exchange claims totaling $2.4 billion. The Governor of the CBN, Olayemi Cardoso, revealed this during a special summit dinner in Abuja. The bank has completed the first stage of verification and is now progressing to the second stage to validate the claims made by manufacturers. This initiative follows the clearance of $7 billion in fx forwards by the apex bank to alleviate past burdens.
However, the Manufacturers Association of Nigeria expressed dissatisfaction with the CBN’s handling of unredeemed FX forward contracts, leading to financial pressures and significant losses in the industrial sector. Despite previous claims by Cardoso that all issues were resolved, the announcement of the ongoing verification process was positively received by attendees.
Cardoso emphasized the importance of managing inflation and stabilizing prices, highlighting the bank’s efforts to enhance foreign exchange management. He also mentioned a notable increase in diaspora remittances following policy initiatives, indicating progress in the financial sector.
Regarding the core mandate of the CBN, Cardoso stressed the significance of controlling inflation to support economic stability. He explained that taming inflation is essential for sustaining investment, purchasing power, and productivity in various sectors. The governor acknowledged the progress made by the central bank but emphasized the continuous journey towards economic revitalization.
Cardoso also addressed the necessity of bank recapitalization to strengthen the banking system and ensure resilience against potential shocks. The policy aims to support banks in enhancing their financial capabilities while maintaining a stable regulatory environment.