CBN announces injection of fresh $500m to clear forex backlog

The Central Bank of Nigeria, CBN, has announced that it is injecting another $500 million to clear the foreign exchange backlog.

Hakama Sidi Ali, Acting Director of the Corporate Communications Department at the CBN, made this known in Abuja on Monday, January 29.

She reiterated the bank’s commitment to settling all legitimate forex backlogs quickly.

She noted: “The Management of the CBN is committed to settling all legitimate foreign exchange backlogs within a short time frame.”

Sidi Ali also assured Nigerians that the CBN is implementing a comprehensive strategy to improve liquidity in the country’s foreign exchange markets in the short, medium, and long term.

According to the CBN spokesperson, this strategy focuses on addressing fundamental issues that have hindered the effective operation of the Nigerian forex markets over the years.

She added: “As the governor said, the CBN focuses on addressing fundamental issues that have hindered the effective operation of the Nigerian FX markets over the years.”

The development comes barely a week after the bank injected approximately $2 billion to settle outstanding commitments across the manufacturing, aviation, and petroleum sectors.

In December last year, the International Air Transport Association, IATA, threatened to expel Nigeria over the $790 million trapped fund.