CBN to release new FX bidding regime to support businesses

Mr Godwin Emefiele, the Governor of the Central bank of Nigeria has said the apex bank will unveil a new FX bidding regime to support Nigerian companies in need of Forex, particularly those involved in local production and job creation.

He disclosed this yesterday in Abuja while speaking at the launch of the 100 for 100 Policy for Production and Productivity (PPP).

According to him, the new regime would create more opportunities for the manufacturing sector to grow and boost employment in the country.

The apex bank has been under pressure by the International Monetary Fund and several operators in the Organised Private Sector (OPS) to float the Naira in the foreign currency market.

However, the CBN has said that it would continue to support the Naira and manufacturers in the acquisition of foreign exchange.

Emefiele said, “We will continue to provide all the needed support, both in Naira and dollars specifically for the importation of plants and equipment to actualize these investments.”

“The foreign exchange support will be solely for the importation of spares, plants and equipment needed to increase production capacities of these companies.”

According to the CBN, companies that are interested are encouraged to submit applications through their banks who would verify the claims in the applications before forwarding same to a dedicated portal created by the CBN to ensure transparency.

However, priority will be given to companies that make use of the bank’s import substitution policy and have a major impact on job creation.

Furthermore, the CBN governor stated that 100 companies would be selected to receive funding from the CBN every 100 days.

Author: abokimallamfx