Tuesday, November 29, 2022
Home Business FOREX: Don’t succumb to speculative players, CBN urges Nigerians

FOREX: Don’t succumb to speculative players, CBN urges Nigerians

In the face of rising demand for foreign exchange for both goods and services by Nigerians, the Central Bank of Nigeria (CBN) has advised Nigerians to resist the urge of succumbing to the speculative activities of some players in the foreign exchange market.

Speaking with newsmen in Abuja on Thursday, 28 July 2022, the Director, Corporate Communications at the CBN, Mr. Osita Nwanisobi said the CBN remained committed to resolving the foreign exchange issues confronting the nation and as such has been working to manage both the demand and supply side challenges.

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 Bank was concerned about the international value of the naira, adding that the monetary authority was strategizing to help Nigeria earn more stable and sustainable inflows of foreign exchange in the face of dwindling inflows from the oil sector.

Specifically, he noted that recent initiatives undertaken by the Bank such as the RT200 FX Programme and the Naira4Dollar rebate scheme had helped to increase foreign exchange inflow to the country. According to him, the Bank’s records showed that foreign exchange inflow through the RT200 FX Programme in the first and second quarters of 2022 increased significantly to about US$600 million as at June 2022. Similarly, he disclosed that the Naira4Dollar incentive also increased the volume of Diaspora remittances during the first half of the year.

Continuing, he said interventions such as 100 for 100 Policy on Production and Productivity, Anchor Borrowers’ Programme (ABP) and the Non-Oil Export Stimulation Facility (NESF), among others, were also geared towards diversifying the economy, enhancing inflow of foreign exchange, Stimulating production and reducing foreign exchange demand pressure.

Nwanisobi therefore said that the Bank would continue to make deliberate effort in the foreign exchange sector to avert further downward slide in the value of the naira, which he observed is fuelled by speculative tendencies.

Reiterating an earlier position of the CBN Governor, Mr. Godwin Emefiele, he urged Nigerians to play their role by adjusting their consumption patterns, looking inwards and finding innovative solutions to the country’s challenges. He submitted that Monetary policy alone could not bear all the burden of the expected adjustments needed to manage the challenges around Nigeria’s foreign exchange and admonished that: “It’s our collective duty as Nigerians to shore up the value of the Naira”.

RELATED ARTICLES

NNPC-NIPCO consortium, Lekki Free Zone sign gas supply deal

The deal which was sealed in Lagos last week will see over 100 companies already established in the zone link up to the project which is expected to be completed in six months.

IMO scribe, Kitack Lim, arrives Nigeria for Maritime summit 

During his visit, the Secretary General will attend the Nigeria International Maritime Summit 2022 where regional policies and operational perspectives to Decarbonization and Green House Gas Emissions in shipping will be the focus.

Nigeria’s power generation to rise by 2000MW in 2024- Seplat

The energy company maintains that its ANOH and upgraded Sapele gas projects could fuel another 2000 megawatts of electricity by 2024, thus displacing the wide use of diesel/petrol generators for electricity as well as the use of biomass as cooking fuel.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisment -

Most Popular

TCN adds 98MW to grid; energizes 2x60mva 132/33kv Gwarinpa Sub-station

According to a statement, the 132kV transmission sub-station is one of the five sub-station projects comprising the Abuja Ring Projects, funded by Agence Francais de Developpment (AFD).

NDPHC wins Power project of the year award

The Power Sector Awards is an initiative designed to recognize, celebrate and promote public and private sector organizations and individuals in the Nigerian Electricity Supply Industry (NESI).  

TCN delivers 22 Power Transformers, other Transmission Equipment to Lagos store

The equipment described as the highest of such in the company’s history, comprise of 22 power transformers, haulage trucks, transmission switchyard spare parts, 45No. earthing transformers, Suspension Clamps, Vibration Dampers, Armor Rods, Circuit Breakers, Current transformer, Voltage transformers, 100tons Crane truck heads

Baobab+ celebrates two years in Nigeria distributing Solar Home Systems

Speaking on the anniversary, the Chief Executive Officer, Baobab+, Kolawole Osinowo, the company has equipped thousands of households and served several beneficiaries with its off-grid energy solutions in the past 2 years.

Recent Comments