Tinubu Assures Investors to Clear Foreign Exchange Contract Backlog
President Tinubu has assured investors that their entire foreign exchange contract backlog would be cleared by his administration.
Nigeria, according to him, would honour all the future foreign exchange contracts entered into by the Central Bank of Nigeria (CBN).
Tinubu speaking at the annual Nigeria Economic Summit in Abuja on Monday, said Nigeria has a line insight to the foreign exchange required to refloat the economy.
He was optimistic that his administration would get the required foreign exchange to clear the backlog.
CBN has sold forward contracts to several businesses for the purchase of dollars at an agreed price in future.
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The CBN failed to fulfil its obligation put at about $3 billion, which was due for payment since February 2023.
The broader backlog, which includes unsettled foreign investors’ contracts, is estimated to be about $10 billion.
The CBN’s failure to clear the dollar backlog has put them in a very tight FX liquidity position and has forced them to suspend several transactions including school fees and Personal Travel Allowance applications.
The President outlined the eight priority items of his administration. These include ending poverty, achieving food security, economic growth, and job creation, access to capital, inclusivity, security, fairness, rule of law, and anti-corruption.
Furthermore, he mentioned several measures introduced by his government to resuscitate the economy. These measures include the N5bn intervention to support small businesses and the agriculture sector.
He also announced upcoming initiatives, including a new student loan programme and consumer credit schemes.
