CBN Disburses $61.64 Million to Airlines to Boost Naira Valuation

CBN Disburses $61.64 Million to Airlines to Boost Naira Valuation

The Central Bank of Nigeria (CBN) has injected approximately $61.64 million into the hands of foreign airlines operating in the country, a move aimed at sending the Naira soaring.

This targeted release of dollars, aimed at clearing a portion of the backlog of overdue foreign exchange obligations owed to airlines, is a major step toward stabilizing the country's foreign exchange market and boosting investor confidence.

The Acting Director of the CBN Corporate Communications Department, Mrs. Hakama Sidi Ali, confirmed this development on Sunday, described it as a welcome relief to foreign airlines struggling with the delay in foreign exchange access.

In the last three months alone, Apex Bank has redeemed a staggering $2 billion in outstanding term liabilities.

The move is expected to have a cascading effect in alleviating the current pressure on the Naira exchange rate, as well as allowing for considerable strengthening of the Naira against major world currencies as a result of the CBN's intervention.

According to Hakama Sidi-Ali, “These payments signify the CBN's continued 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 by the CBN is expected to provide a considerable boost to the Naira against other major global currencies and further increase investor confidence in Nigeria’s economy.”

Source: www.lindaikejisblog.com

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