By Ken Afor
The Central Bank of Nigeria (CBN) has claimed that it has disbursed the sum of $64.44 million, completing the settlement of Foreign Exchange (FX) owed to foreign airline operators in the country.
This amount, according to the apex bank, represents the final disbursement of the $136.73 million owed to airlines in the aviation industry.
This revelations were contained in a statement released on Tuesday by Mrs. Hakama Sidi Ali, Acting Director of Corporate Communications at the CBN.
According to Mrs. Ali, the disbursement of $64.44 million signifies the CBN’s commitment to clearing the backlog of FX obligations across all sectors. The apex bank said the move is aimed at restoring confidence in the forex market.
She added that the apex bank is collaborating with critical stakeholders to improve liquidity within the forex market with the goal of easing off mounting pressure on the Naira.
According to the CBN, with the injection of $64 million into the aviation sector, it would positively impact the market.
The statement reads further:, “The Central Bank of Nigeria, fulfilling its pledge to clear the backlog of foreign exchange owed foreign airlines in the country, has concluded the payment of all verified claims by airlines with an additional $64.44 million to the concerned airlines.
“While expressing optimism that the market would respond positively with the latest injection of over $64 million, she admonished actors in the foreign exchange market to guard against speculation as such actions could hurt the Naira.”
“In pursuit of enduring stability, the CBN is actively seeking public support for its reforms in the foreign exchange market. Mrs. Ali called on Nigerians to support these initiatives, underscoring the bank’s commitment to fostering orderliness and professionalism.”
According to her, this approach will enable market forces to organically influence exchange rates, fostering a more sustainable and efficient system.
The strains with the Emirates serve as a clear reminder of wider challenges. The brief suspension of the airline underscored the substantial impact of the FX backlog on passenger traffic and the aviation sector. It is imperative to address Emirates’ specific concerns, along with those of other airlines, to avert future disruptions and guarantee uninterrupted air travel connectivity for Nigeria.
The CBN’s resolution of airline debts and its pledge to tackle the broader FX backlog provide a glimpse of optimism for rebuilding trust in the Nigerian foreign exchange market. Nonetheless, it is vital to address concerns, enhance transparency, and collaborate with stakeholders, including airlines like Emirates.
This collaborative effort is crucial for repairing strained relationships, averting future disruptions, and ultimately achieving a complete recovery of the market.
