By Tony Obiechina, Abuja
Following escalating demands for foreign exchange for both goods and services in the country, the Central Bank of Nigeria has advised Nigerians to resist the urge of succumbing to the speculative activities of some players in the foreign exchange market.
CBN Director of Corporate Communications, Mr. Osita Nwanisobi who stated this while speaking with journalists in Abuja said the CBN was 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.
Although the Director admitted 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, he however said the CBN was concerned about the international value of the naira.
Nwanisobi added that the Apex Bank 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 pointed out 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 $600m as at June 2022.
The Director also 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.
He therefore stated that the CBN would continue to make deliberate efforts in the foreign exchange sector to avert further downward slide in the value of the naira, which he observed is fueled 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 adding that, “It’s our collective duty as Nigerians to shore up the value of the Naira.”
