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MAN laments loss of N300bn to new forex policy



MAN laments loss of N300bn to new forex policy

Players in the Nigerian economy have continued to count their losses occasioned by the recent introduction of a the new foreign exchange policy by the Central Bank of Nigeria, CBN.

This is as the Vice President of the Manufacturers Association of Nigeria, MAN, Mrs. Stella Okoli, has said manufacturers in the country lost over N300 billion to the policy.

According to Mrs.Okoli, who said she was part of the computation of the loss, what Nigerian manufacturers lost was more than the N300 billion.

“When you really look at it, you will find out that more than the N300 billion has been lost because we (manufacturers) bought foreign exchange (forex) last year between N170 and N200, but now technically, we are buying it for N350. This is because with the new forex policy, manufacturers have to wait for a certain period of time to be able to get forex allocation from government,” she said.

She also added that the earliest allocation of forex to some manufacturers would mature by July 22 while some of the commitments made to their suppliers have not been redeemed.

Read also: ExxonMobil declares force majeure on Qua Iboe crude oil

Mrs. Okoli, the chief executive officer of Emzor Pharmaceuticals, further explained that manufacturers who placed orders for raw materials at the old exchange rate and were not able to pay for them because of non-access to forex at the time are now worse off as they must redeem the payment and commitment to their suppliers at a higher cost now given the current rate.

“So, we have lost and people have scaled down operation; while some others have closed shop. We lost through forex; interest rate and manpower and though it causes us so much to produce, but we can’t pass on the extra cost to consumers because they will complain,” she said.

By Timothy Enietan-Matthews

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