CBN Defends Forex Ban Policy

Mr. Moses Tule, Director of Monetary Policy, Central Bank of Nigeria (CBN) has stoutly defended the recent restrictions placed on forex by the apex bank, saying it is a move to stem gradual erosion of value of the Naira.

The CBN had placed a ban on importers of certain commodities from accessing foreign exchange from the forex window. Tule was a guest speaker at a Forum organised by the Lagos Chamber of Commerce and Industry (LCCI) that sought to bring together the regulator and the private sector to discuss urgent and topical issues that have implications for the economy.

Tule said without such forex policy, the country would have been in complete mess and would have required the kind of bailout Greece is
suffering right now.

He condemned the practice of round-tripping of foreign currency by some unscrupulous manufacturers who obtain forex from the CBN at official rate, send the fund abroad without the intention of importing goods. He said such funds are never repatriated.

“Some importers even demand for forex for items they want to buy in the next two years,” he said. Tule therefore enjoined the populace, particularly manufacturers and importers, to support CBN’s efforts at sanitising the forex market and ensuring that foreign currencies only
get to those who need them.

He reiterated that there is a clear and present danger to the economy caused by falling oil prices and declining government revenue and that the managers of the economy must make hard choices that would lead to economic stability.

spot_img
spot_img
spot_img
spot_img
spot_img

Hot this week

NAICOM Reaffirms Support for Takaful, Microinsurance Growth as Noor Takaful Nears 10th Anniversary

L-R: Dr. Usman Jankara Jimada, Deputy Commissioner Technical, NAICOM;...

BUA Foods Delivers Double Digit Profit as Margin Discipline Drives Growth

  Company advances long term expansion strategy with significant...

Leadway Sounds Alarm on African Swine Fever, Urges Farmers to Strengthen Biosecurity

As concerns grow over recent outbreaks of African Swine...

Ecobank Nigeria Launches Scaling Up!!! Podcast to Champion African Entrepreneurship, Business Growth

Ecobank Nigeria has launched Scaling Up!!!, its flagship business...

Leadway Assurance, CubeCover, Vitse Technologies Sign on as Official Partners for IMT 5.0

Insurance Meets Tech (IMT), West Africa’s premier platform for...

Topics

Visa Holds 1st Fraud Prevention Workshop in West Africa

Visa Inc., a global payments technology company, organized its...

NCC Decries Proliferation of Substandard Handsets in Nigeria

Worried by the continuous proliferation of substandard mobile phones...

Kaspersky Offers Free Security for Medical Firms over COVID-19

  Kaspersky announces free availability of its core endpoint security...

7 Major Challenges Facing Real Estate Sector in Nigeria

Nigeria, the acclaimed "Giants of Africa," has maintained its...

ETAP Secures $1.5m Funding to Drive Car Insurance Penetration in Africa

ETAP, an insurtech startup that makes it easier to...

Market Statistics Monday, 9th January, 2017

Market Cap (N'bn)              ...

Sterling Bank Earns 5-Peat Victory at Great Place to Work Awards

Sterling Bank Plc has set a new milestone by...

Untapped Intra-Regional Trade Opportunities Key to Boosting African Economies

Despite an average annual growth in exports of 8.5%...
spot_img

Related Articles

Popular Categories

spot_imgspot_img