CBN Settles Over $2bn Forex Liabilities In Three Months

…Releases Additional $61.6m FX Forwards With Banks

In fulfilment of its commitment to eliminate the backlog of pending matured foreign exchange in Deposit Money Banks (DMBs), the Central Bank of Nigeria (CBN) has disbursed $61.64m to foreign airlines through various banks.

This initiative is part of the CBN’s efforts to decrease its remaining liability to the airlines.

This information was confirmed by the Acting Director of the Corporate Communications Department at the CBN, Mrs. Hakama Sidi Ali, in Abuja.

Ali further disclosed that, in the past three months, the CBN has also redeemed outstanding forward liabilities amounting to almost $2bn.

This, she added, underscores the Bank’s commitment to the resolution of pending obligations and a functional foreign exchange market.

According to her, these payments signify the CBN’s ongoing efforts to settle all remaining valid forward transactions, with the aim of alleviating the current pressure on the country’s exchange rate.

She added that this initiative by the CBN should provide a considerable boost to the Naira against other major world currencies and further increase investor confidence in the Nigeria economy.

THE WHISTLER had reported that the airlines with trapped funds are Emirates Airline, Lufthansa, British Airways, Ethiopian Airlines, Qatar Airways and Air France among others.

The International Air Transport Association Regional Vice-President for Africa and Middle East, Kamil Al Awadhi had in August last year said he got the commitment of the Federal Government to clear the balance overtime.

A of August 2023, Nigeria accounts for $783m of airlines’ blocked funds.