CBN Disburses $660m Forex To Manufacturers

CBN said it has given manufacturing companies over $660m forex value in the inter-bank market. This to help them source raw materials and spare parts.

Isaac Okoroafor, Acting Director, Corporate Communications disclosed this in Abuja on Monday.

According to Okoroafor, this is because of its promise to ease foreign exchange pressure on manufacturing and agricultural businesses. The measure is done through forward sales under the new flexible forex regime.

He also said that the sum sourced by the manufacturers was to facilitate the procurement of raw materials. It could be for agricultural, pharmaceutical, automobile, aviation, plant and machinery, power, telecommunications, and printing, among others.

“The CBN is committed to ensuring that manufacturers of goods for which Nigeria does not enjoy comparative advantage are able to get letters of credit (LCs) to import the required materials for their businesses.”

Manufacturers Should Take Advantage

Furthermore, Okorafor said that since the CBN introduced restrictions on the sourcing of forex for 41 items from the inter-bank market, the move had greatly benefited local manufacturers in the country.

Also, he urged manufacturers to take advantage of the policy which would enable Nigeria to reclaim its status as a major producer of goods through backward integration initiatives.

According to him, this will necessary push to Nigeria to conserve billions of forex being spent on import bills annually.