CBN plans dollar auction sale for airline operators, importers

In continuation of its policy to sustain dolliar availability, the Central Bank of Nigeria (CBN) has pledged to create a special dollar auction sale session for the benefits of airline operators and importers of essential items.

This new forex policy is coming on the heels of a critical view of the multiple windows for the foreign exchange regime being promoted by the apex bank by money experts, including its former Governor, Chukwuma Soludo.

But apparently not deterred, the CBN on Wednesday stated that due to some representations by operators of the aviation industry and a cross section of imposters, it has become necessary to create the special avenue through which they could access dollar for their activities.

The policy is aimed at easing the backlog of unsettled bills, estimated at $500 million of imported aviation fuel and raw materials.

Read also: FG releases N30bn to develop solid mineral sector

CBN Governor, Godwin Emefiele was quoted by Reuters as saying that traders in the interbank market could not meet the demands of the two sectors to be targeted by the new sale option.

Enefiele further told the newsmen that, “a cut-off rate at the auction would be applied at the marginal rate and that obligations due on fuel imports must had matured before January 31 to qualify for the intervention.”

It is learnt that through the CBN intervening, between February to April 2017, an estimated sum of $4 billion has passed through official and parallel markets.

But the plan to bridge the gap between the official and black market rates are yet to be achieved, despite promise that before the second quarter, such goal would have been attained.

For instance, a dollar still exchanged for N381.71 at the parallel window and went for N305.60 per dollar as at Tuesday, according to the dealers.

 

 

 

 

 

RipplesNigeria ….without borders, without fears

Click here to download the Ripples Nigeria App for latest updates

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now