CBN Pays $2bn To Clear FX Backlog, To Sanction Defaulters

The Nigerian government’s central bank has paid out around $2 billion to settle a backlog of outstanding foreign exchange liabilities. The money came from a variety of sources, including the manufacturing, aviation, and petroleum industries.

The central bank also said that it has begun settling with international airlines and fully cleared the debt of fourteen other financial institutions.

On Wednesday, Hakama Sidi Ali, a spokesman for the Central Bank of Nigeria (CBN), made the announcement in Abuja, stating that the bank had hired a respectable business to conduct an independent forensic review.

Additionally, she shared the news that the FX backlog for eligible transactions has started to be paid.

But the CBN spokeswoman said that the review found serious violations, abuse, and major non-compliance with market laws, thus the bank would work with the proper authorities to impose punishment.

Ali reaffirmed the Central Bank of Nigeria’s (CBN) commitment to cleaning up the country’s banking system and restoring faith in the Nigerian economy among traders, investors, and other interested parties.

However, she assured that the CBN will maintain its constant three-month track record of settling the lawful foreign exchange backlog.

The Central Bank of Nigeria (CBN) revealed last week that international airlines have received over US $61.64 million from a number of different institutions.

According to Ali, the CBN is attempting to reduce its residual liabilities to the airlines through this programme.