CBN Raises Forex Allocation To Banks

Central Bank of Nigeria (CBN) has increased forex to banks.

Gatekeepers News reports that in order to meet the requests of customers, seeking to use a foreign exchange (forex), the Central Bank of Nigeria (CBN) has increased the forex allocations to banks.

Following the meeting between the CBN Governor, Godwin Emefiele, and the managing directors of Deposit Money Banks (DMBs), Emefiele warned them to stop denying customers, particularly travellers, the opportunity to purchase forex for
Basic Travel Allowance (BTA), Personal Travel Allowance (PTA), tuition fees, medical payments as well as Small and Medium Enterprises (SMEs) transactions or for the repatriation of Foreign Direct Investment (FDI) proceeds.

The Acting Director, Corporate Communications Department, CBN, Osita Nwanisobi, while confirming the discussions at the meeting of bank chiefs in a note, said the CBN remained committed to ensuring liquidity in the forex market meet genuine and legitimate demands of customers.

Nwanisobi added: “The CBN agreed to increase the amount allocated to banks for travellers, Small and Medium Enterprises among others.

“The banks also agreed to operate something akin to foreign exchange imprest account such that the coffers of banks will be replenished so long as they retire the initial amounts to the satisfaction of the CBN.”

He calmed the bank over fears of a forex shortage and also encouraged members of the public seeking to purchase foreign exchange from their banks.

According to him, “We wish to assure members of the public that the CBN shall continue to monitor market developments and is committed to ensuring an efficient FX market for all legitimate users.”

He, however, advised customers to approach the customer service representatives of their designated banks should they encounter challenges, noting that they could also lodge their complaints to the CBN via the bank’s toll-free line: 07002255226 or send an email to cpd@cbn.gov.ng if their requests are not met.

Sources present at the meeting said Emefiele stated that the CBN management frowned at the difficulties encountered by customers who wish to access the forex.

He, therefore, warned that the apex bank would sanction any bank that denies customers the opportunity to purchase forex for legitimate purposes.

Last week, the CBN Governor reiterated the bank’s commitment to ensuring the steady availability of foreign exchange for manufacturers.

Gatekeepers News gathered that he had also enjoined banks and Nigerians to aspire to end environmental pollution and ensure sustenance of banking principles.