CBN clears $2 billion fx backlog, vow to punish offenders

According to the Central Bank of Nigeria (CBN), in an effort to pay off the backlog of unpaid foreign exchange bills, it has paid out around $2 billion to a variety of industries, including manufacturing, aviation, and petroleum.

In addition, the apex bank announced that it has begun settlements with foreign airlines and erased the whole debt of fourteen institutions.

This was revealed on Wednesday in Abuja by CBN spokesperson Hakama Sidi Ali, who clarified that the bank has hired a respectable company to conduct an independent forensic review.

She also revealed that the FX backlog for approved transactions had started to be paid.

However, the CBN spokesman pointed out that the review uncovered serious violations, egregious mistreatment, and substantial non-compliance with market norms, and that the proper consequences would be implemented in coordination with the competent authorities.

Ali emphasized the CBN’s commitment to cleaning up the financial services industry and building confidence among all players in the market as well as among stakeholders both inside and outside the Nigerian economy.

She did, however, state that the CBN would carry on with its routine of clearing the genuine foreign exchange backlog, which it has been doing for the past three months.

The CBN disclosed last week that international airlines had received payments totaling about US $61.64 million via a number of banks.

According to Ali, the CBN is attempting to reduce the amount of debt it still owes the airlines by implementing this program.