CBN resumes forex sales to banks for school fees, SMEs

The Central Bank of Nigeria has resumed forex sale to commercial banks.

In a statement on Wednesday, the apex bank said the move will ensure forex availability to parents who wish to pay foreign tuition and small and medium-scale enterprises (SMEs) who need forex for essential imports.

Isaac Okarafor, CBN director of corporate communications, said the decision is in view of the gradual easing of the lockdown both globally and in Nigeria.

According to Okorafor, the CBN will provide “over $100 million per week” for both categories.

“The CBN has also made complete arrangements to resume foreign exchange sales to the Bureau De Change (BDC) segment of the market for business travels, personal travels, and other designated retail uses, as soon as international flights resume,” the statement read.

“With these actions, the CBN wishes to reiterate that it is adequately meeting the needs of all legitimate users, and our continued capacity to do so should not be in doubt.

“There is, therefore, no need for panic by an end-user that could necessitate recourse to illegitimate sources and spike in foreign exchange rates.”

He said the bank has fortified its surveillance of the foreign exchange markets to watch out for speculators, smugglers and other illegal users, and will take decisive actions against anyone/institutions involved in such nefarious activities.

BDC operators in the country had, on March 27, suspended operations for two weeks to protect members from contracting the coronavirus.