CBN resumes Dollar sales for SMEs, School Fees

CBN

The Central Bank of Nigeria said it has resumed the sale of foreign exchange to banks to enable parents to pay for school fees and to allow Small and Medium Enterprises to make essential imports.

This was confirmed in a statement by the apex bank’s Director of Corporate Communications, Mr. Isaac Okorafor.

“In view of the gradual easing of the COVID-19 lockdown both globally and in Nigeria, the Central Bank of Nigeria (CBN) has resumed provision of foreign exchange to all commercial banks for onward sales to parents wishing to pay school fees and SMEs wishing to make essential imports needed to revamp economic activities across the country,” the statement read.

The CBN encouraged individuals who are in need of foreign currency that it would be made available and there will be no need to patronize illegal sources.

The naira has however witnessed a decline and the currency goes for above 460 per dollar on the parallel market.

“In particular, the CBN is resuming the provision of over US$100 million per week for both categories.
The CBN has also made complete arrangements to resume foreign exchange sales to the BDC segment of the market for business travels, personal travels, and other designated retail uses, as soon as international flights resume.

“With these actions, the CBN wishes to reiterate that it is adequately meeting the needs of all legitimate users, and our continued capacity to do so should not be in doubt. There is therefore no need for panic by any end-user that could necessitate recourse to illegitimate sources and spike in foreign exchange rates. Given this, the Bank has ramped up its surveillance of the foreign exchange markets for speculators, smugglers and other illegal users, and will take decisive actions against anyone/institutions involved in such nefarious
activities.”