Business

CBN disburses $61m to foreign airlines to settle foreign exchange backlog

1200px Central Bank of Nigeria logo.svg
The Central Bank of Nigeria, CBN, says it has disbursed 61.64 million dollars to foreign airlines through various Deposit Money Banks, DMBs.
According to a statement issued by its acting director, Corporate Communications, Hakama Sidi-Ali, in Abuja on Sunday, the disbursement is in fulfilment of CBN’s commitment to eliminate the backlog of pending matured foreign exchange in DMBs.
Ms Sidi-Ali said that the initiative was part of the CBN’s efforts to reduce its remaining liability to the airlines.
She said that in the past three months, the CBN had also redeemed outstanding forward liabilities of close to two billion dollars.
“This underscores the CBN’s commitment to the resolution of pending obligations and a functional foreign exchange
“These payments signify 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.
“It is anticipated that this initiative would provide a considerable boost to the Naira against other major world currencies and further increase investor confidence in the Nigerian economy,” she said.
The News Agency of Nigeria reports that the total trapped fund of foreign airlines in the country is pegged at about 800 million dollars.
This led to the International Air Transport Association, IATA, threatening that some foreign airlines may be forced to quit the Nigerian markets if nothing is done about the monies, which are majorly from ticket revenue
The Association said that the Nigerian government is currently holding the highest amount of airline-trapped funds globally.
NAN

-Advertisement- Place Your Advert Here

Ismail Aniemu

Ismail Aniemu, Publisher of JournalNG and ghost writer, is a maritime journalist of over two decades' of practice with multidisciplinary background. He holds a masters degree in Transport Management from Ladoke Akintola University of Technology(LAUTECH) with bias for logistics. He is also an alumnus of the Times Journalism Institute where he obtained a post graduate diploma in Journalism. Email: ismail.aniemu@aol.com

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button